LP: Source of Return

Return comes from two sources.

• Lending protocol: Interest revenue by holding ibTokens

• Akronswap: swap fee revenue by restaking ibTokens to Akronswap pool

Below is an example of expected APY for Akronswap waWETH + waUSDC LP token, taking into consideration average annual LVR.

LPs can lose to arbitrageurs when price changes significantly. Akronswap gives close to 100% of the arbitrage profits from arbitrageurs back to LPs through dynamic swap fees.