Estimate impermanent loss for a two-asset liquidity pool when prices diverge.
Please do not make financial decisions based on these results.
What is the Impermanent Loss Calculator?
Estimate impermanent loss for a two-asset liquidity pool when prices diverge. To use the Impermanent Loss Calculator, enter price change of asset a vs b, initial deposit value; it returns impermanent loss, loss in dollars, pool value vs just holding, and shows them instantly as you type.
Where the Impermanent Loss Calculator fits
Estimate impermanent loss for a two-asset liquidity pool when prices diverge. The main figure it returns is the Impermanent loss, worked out from the values you enter.
It belongs with the other investment tools. If you are comparing options or checking a result from another angle, try the Value at Risk Calculator (VaR), Percentage Return Calculator or the Simple Interest Calculator.
How to use the Impermanent Loss Calculator
- Fill in the fields. You will need Price change of asset A vs B (ratio, 2 means doubled), Initial deposit value ($). Use a rate of return you consider realistic; small changes compound into large differences. Fields marked optional can stay at zero.
- Read the result. The highlighted box gives the Impermanent loss, and the cards below show Loss in dollars, Pool value vs just holding. Tables and charts break it down further.
- Test other scenarios. Results update as you type. Change one value at a time to see what drives the answer, and press Reset to go back to the defaults.
Formula and how it works
Example with real numbers
Here is the Impermanent Loss Calculator using the default values shown in the calculator above:
Inputs
| Price change of asset A vs B (ratio, 2 means doubled) | 2 |
|---|---|
| Initial deposit value ($) | 10,000 |
Results
| Impermanent loss | -5.72% |
|---|---|
| Loss in dollars | $571.91 |
| Pool value vs just holding | 94.28% |
With these inputs the calculator returns Impermanent loss: -5.72%. Change any value in the calculator to see how the result moves.
What if you change one input?
Sensitivity check: raising Price change of asset A vs B (ratio, 2 means doubled) from 2 to 2.4 (about 20% higher) and leaving everything else as in the example above changes the results like this:
| Result | Example | After the change | Change |
|---|---|---|---|
| Impermanent loss | -5.72% | -8.87% | -55.1% |
| Loss in dollars | $571.91 | $887.10 | +55.1% |
| Pool value vs just holding | 94.28% | 91.13% | -3.3% |
The input that moves the result most is the one to check twice. Change it in the calculator above to test your own case.
What the results tell you
The results panel of the Impermanent Loss Calculator reports Impermanent loss, loss in dollars and pool value vs just holding. Compare these figures while changing one input at a time, and use the related calculators below to look at the same situation from another angle.
Method and limits. This calculator applies the formula in the section above to your inputs, in your browser; nothing you enter is stored on our servers. Investment returns are not guaranteed. The result shows what the numbers you enter would produce, not what the market will do. It is for information, not financial, tax or legal advice.
Frequently asked questions
Is impermanent loss permanent?
It becomes a real loss only if you withdraw while prices are diverged.
What rate of return should I assume?
There is no guaranteed rate. Test a range of conservative and optimistic rates, and remember that fees and inflation reduce your real return.
Are investment returns guaranteed?
No. Real returns vary. Use these tools to compare scenarios, not to predict results.
Are the results guaranteed?
No. Results depend entirely on the numbers you enter and the formulas shown on this page. Please do not make financial decisions based on them alone; confirm important figures with a licensed professional.
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