9/16/2022 - Synapse ETH Market Making has a 30d APY of 6.12%, a TVL of 8,542,352, and an Exponential Risk Rating of B. This pool facilitates trades between ETH and nETH.

Synapse ETH Market Making on Arbitrum (ETH, nETH)

This pool facilitates trades between ETH and nETH. Your yield is generated from swap fees paid by traders when an exchange happens.

ETH is the native currency of the Ethereum chain used for gas fees and security.

nETH, or "nexus" ETH, is a cross-chain asset pegged to ETH and fully backed by the nexus ETH on Ethereum that consists solely of ETH. nETH is used to enable fast bridging of ETH to and from L2 networks such as Arbitrum.

nETH

This pool serves as a yield-generating account for you to earn yield on your ETH subject to market conditions

Investment Strategy

Fundamentals

Economics

Risk

Risk of losing your entire investment due to systemic issues. Based on chain, protocols and assets.

Reflects how liquid the asset is, collateralization level, dependency risks, and reliance on centralized entities

Asset Strength

Code quality of the underlying smart contracts

Synapse

Protocol Code Quality

Reflects how long the protocol has been around, the value of the assets deposited in the protocol and its level of decentralization

Protocol Maturity

Protocol’s systemic risks or ponzi like dynamics that can lead to loss of principal

Protocol Design

Reflects the blockchain’s fundamental risks, total value invested, and level of decentralization

Arbitrum

Chain Design

Pool Fundamentals

Reflects how exposed the pool is to leverage or undercollateralized assets for lending protocols

Synapse ETH Market Making

Collateralization & Leverage

The potential loss incurred when investing in a liquidity pool versus holding the assets separately outside the pool

Impermanent Loss

Assessment of yield sustainability due to organic market demand or high incentives

Yield Outlook

Reliability of the underlying blockchain from network congestion or halts

Chain Reliability

Pool Economics

Investment Rationale

Risk Perspective

Pool Performance

Editor's Take

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Yield Source

Your yield consists of trading fees from the buying and selling of ETH and nETH on the Arbitrum blockchain

This pool has been receiving protocol incentives to encourage more user deposits