LP: Advantages of Full Range Liquidity

Akronswap implements full range liquidity for the following reasons:

1. Full range liquidity is better for passive LPs than concentrated liquidity in the long-term in terms of APY per unit of risk, especially when prices are volatile.

2. Decentralization is more about state-preserving and less bout state-changing. Full range passive liquidity requires far less state-changing actions compared to concentrated active liquidity for the ecosystem to keep going.

3. In a concentrated liquidity AMM, passive LPs always lose potential earnings to active LPs on top of losing to arbitrageurs, and therefore passive LPs are incentivized to become active LPs. This incentive leads to delegation of liquidity management to a few centralized players.

Category	Full Range	Concentrated
Short-term APY	Low	Very High
Long-term APY	High	Low
Impermanent loss	Low	Very High
Loss-versus-rebalancing	Low	High
Frequency of state-changing actions to be within fee-earning range	Never	High
Benefits to passive LPs	High	Low