Should You Be Worried About Providing Liquidity?
· 6 min read
If you've been following crypto news lately, you might be asking yourself: Should I even be providing liquidity right now?
The headlines are brutal. Web3 is Going Just Great tracks a constant stream of exploits, rug pulls, and hacks. Just in the past few weeks, we've seen Truebit lose $26 million, Yearn Finance get exploited for the fourth time, and Trust Wallet's browser extension compromised in a supply chain attack. The list goes on and on.
So should you be worried? The honest answer is: Yes, you should be concerned. But that doesn't mean you should avoid liquidity provision entirely.