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    "Small" LP Actions

    I answer the following questions: - What percent of LP adds to each pool is small (<$1k USD)? - Is there a relationship between the chain and the proportion of “small” LPs?

    Introduction

    Analysis

    I used the Thorchain database and then the liquidity_actions table to get the number of user-generated liquidity transactions inside this dashboard. Then, I filtered out those under $ 1,000 as "small_LP". Hence the percentage of liquidity transactions for each pool is obtained.

    At first, without looking at the chart, I think there is a meaningful relationship between the type of chain and the percentage of small_LP. So that the lower the fee of the chain, the greater the number of low-value transactions on it, and as a result, users use that chain to add small liquidity.

    Now let's look at the chart!

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    As the diagram shows, liquidity pools on chains like Ethereum with relatively high transaction fees account for a lower percentage of small LPs. Though chains such as Terra and Thorchain, which have low transaction fees, cover a higher portion of small LPs.