Liquidity
One position, 4 revenue streams — Earn from trading fees, liquidity movements, and Aave lending interest simultaneously. All auto-compounded in real-time. Same safety as Uniswap V2.
Why Pennysia?
| Feature | Uniswap V2 | Concentrated Liquidity | Pennysia |
|---|---|---|---|
| Risk level | Low | High (leveraged) | Low |
| Express market view | No | Partial | Yes |
| Principal loss on wrong bias | N/A | Yes | No |
| Auto-compounding | Yes | No | Yes |
| Extra yield from lending | No | No | Yes (via Aave) |
How It Works
Deposit liquidity, pick a direction, earn fees when right. No lockups.
| Step | What You Do | What Happens |
|---|---|---|
| 1 | Deposit tokens X and Y | Enter any market |
| 2 | Allocate to a bucket | Bullish X, Bullish Y, or 50/50 |
| 3 | Earn trading fees | When trades match your bias |
| 4 | Rebalance anytime | No penalties, full flexibility |
Buckets:
- Bullish on X → Earn fees when X is bought (price rises)
- Bullish on Y → Earn fees when Y is bought (price rises)
- 50/50 → Earn steadily from both sides
4 Revenue Streams
One LP position captures yield from 4 sources — all auto-compounded in real-time:
| Source | How You Earn | Applies To |
|---|---|---|
| Trading fees | Swaps that match your bucket bias | Your chosen bucket |
| Liquidity fees | Users switching buckets or withdrawing | Same fee structure as swaps |
| Aave interest | Lending APY on supported tokens | All Aave-supported tokens |
| Auto-compounding | All yields reinvested automatically | Everything |
ℹ️ INFO
A pool has two tokens (X and Y). Your bucket choice determines which trades pay you.
Example: $10K in ETH-USDC
| Strategy | Allocation | ETH goes up | ETH goes down |
|---|---|---|---|
| Bullish | 100% ETH bucket | Earn fees | No fees |
| Neutral | 50/50 split | Earn half | Earn half |
| Bearish | 100% USDC bucket | No fees | Earn fees |
Switch strategies anytime as markets change. Wrong prediction = no principal loss, just fewer fees.
Automatic Aave Yield
Tokens supported by Aave automatically earn lending interest on top of all other yields. No extra steps, no manual claiming.
Pennysia atomically withdraws from Aave for swaps, then re-deposits — all in one transaction.
Risks
| Risk | What it is | How it's handled |
|---|---|---|
| Impermanent loss | Standard AMM risk | Same as Uniswap V2 |
| Smart contract | Code bugs | Audited, battle-tested |
| Aave failure | External protocol | Insurance fund + overcollateralized |
Quick Tips
- Unsure? Start 50/50 for steady baseline returns
- Trending market? Lean into the direction (more allocation = higher returns)
- People shift? You earn fees