Osmosis swap fees paid to LPs
Osmosis is a decentralized exchange built on top of the Cosmos network, focusing on enabling efficient trading of tokens from the Cosmos ecosystem. It uses an automated market-making (AMM) model, where liquidity providers (LPs) deposit two assets into a pool, and trades are executed against these pools, generating fees for LPs. These fees can be earned in the form of the tokens in the pool, and the LPs' share of the pool is determined by their contribution to it.
In this context, analyzing the fees generated by LPs and swaps over time can provide valuable insights into the health of the Osmosis network and its pools. By monitoring these metrics, we can understand the patterns of LP activity, the impact of incentives on pool liquidity, and the popularity of specific pairs, among other things. In this analysis, we have evaluated various metrics related to the fees generated by LPs and swaps, including daily total LP USD fees, daily USD fees by pool, and the percentage share of fees for each pool. By examining these metrics over different time periods, we have identified several key trends that shed light on the state of Osmosis liquidity and trading activity.
This study focuses on analyzing the performance of swap fees and LP fees generated on the Osmosis DEX over a period of 180 days. The analysis is based on the data obtained from the Osmosis blockchain, and it includes various metrics such as daily swap and LP fees, percentage share of fees by pool, and the impact of incentives on the generated fees.
We have analyzed data on daily swap fees, liquidity provider actions, and USD fees generated by pools over various time periods, ranging from 30 to 180 days. We have used various tools to visualize and interpret the data, including graphs and charts, to identify trends and patterns. Our analysis has been based on publicly available data and the methodology used is a combination of statistical analysis and data visualization techniques.