Hop In the Pool
Introduction
What are DEXs?
A decentralized exchange (DEX) is a peer-to-peer (P2P) marketplace that connects cryptocurrency buyers and sellers. In contrast to centralized exchanges (CEXs), decentralized platforms are non-custodial, meaning a user remains in control of their private keys when transacting on a DEX platform.
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What is Cosmos?
Cosmos (ATOM) is a cryptocurrency that powers an ecosystem of blockchains designed to scale and interoperate with each other. The team aims to "create an Internet of Blockchains, a network of blockchains able to communicate with each other in a decentralized way." Cosmos is a proof-of-stake chain.
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What is Osmosis?
Osmosis is Layer-1, Proof-of-Stake (PoS) blockchain built using the Cosmos SDK. Osmosis is a DEX protocol, which means it uses smart contracts to determine the price of digital assets, to produce liquidity via a peer-to-peer (P2P) methodology, and to exact trades between users. This approach to an exchange platform is known as an AMM — a DEX protocol that prices crypto assets in liquidity pools.
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Methodology
This dashboard shows the activity of different LP deposit types in all the pools on Osmosis. On Osmosis users con deposit Liqudit with both assets in the pool or just one. We are looking to see how Osmosis users prefer to provide liquidity. The data for this dashboard comes from the osmosis.core
tables of the Flipside database.

Osmosis LP Events by Event Type
Observations
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In terms of volume, the LP deposit volume of the activity was at its peak in Q4 2021.
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The users that deposit both assets deposit much larger volumes than 1 sided depositors.
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Currently most days there are more Single-sided Lp events than both asset Lp events.
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Users ent pools with osmo or non-osmos assets at similar frequencies and volume.
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Osmosis Pool look up LP activity
Osmosis LP Volume by Event Type
Description
- The graphs on the left show the daily number of user depositing and withdrawing liquidity from the selected pool
- The graphs in the middle show the pool daily size USD and the pool token daily price
- The graphs on the right show the deposit, withdraw, and net deposit volumes of the pool over time
Conclusion
The single-sided LP deposit type has become very popular on osmosis, but when users are depositing a large volume into pools they LP with both assets. This is most likely due to the fact that on large LP events single-sided Deposits could have detrimental slippage. The newer pools launched on osmosis have a higher proportion of single-sided liquid to 2 sided LP events. The Axelar assets the majority have a higher proportion of single-sided Osmo LP activity compared to other assets.
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Observations
- Newer liquidity pools have higher single-sided Liquidity than older pools
- Most pools have 2 assets deposits making up most of the LP events
- Almost all of the pools that were active in April 2022 lost a large proportion of liquidity in early May during the terra crash
- The Axelar assets the majority have a higher proportion of single-sided osmo LP activity compared to other assets.
Osmosis Pool look up LP activity by event type