Liquidity
has an expiry.
Most liquidity sits in a pool until somebody decides to unwind it. A deployment is written like a contract instead: one market, one price zone, one deadline. It earns from every trade that crosses it, then ends on its own and settles.
Market
The pair whose trading flow the position earns from. Every trade that crosses the zone pays the liquidity sitting in it.
Zone
The price band the capital works inside. Narrow bands concentrate liquidity and earn faster; wide bands stay in range longer.
Expiry
The moment the deployment ends on its own. No unwinding decision, no open-ended exposure — the deadline is part of the position.
Deploy
Capital enters the zone. The lifetime is fixed the moment the position is created.
Earn
Every trade crossing the zone pays the liquidity inside it. Fees accrue to the position.
Expire
The deadline arrives. The deployment ends automatically — there is nothing to unwind.
Settle
Fees are settled, performance against holding is calculated, capital becomes redeemable.
Net vs holding=Fees captured−Impermanent loss
- Fees captured
- Earned from every trade that crossed the zone while the deployment was alive.
- Impermanent loss
- The cost of the zone rebalancing the position as price moved through it.
- Net vs holding
- What the deployment produced measured against simply holding the assets.
While a deployment is alive, ownership of it is a transferable token. The position can change hands before it expires; the deadline and the zone travel with it.
Chart shows NASDAQ · NVDA, the reference market for NVDA / USDG.