Current Status and Contact
Bolt’s LP program is being expanded. Specific fee rates and deposit terms are being finalized. Contact the team for current details.
The Traditional LP Problem
AMM liquidity providers face a difficult trade-off. Deposit paired assets into a pool, and you earn fees on every swap. But the pool automatically rebalances itself by changing the ratio of assets. This means you always end up holding more of the depreciating asset. This is impermanent loss. On top of that, LPs need to actively manage positions, adjust price ranges, and absorb rebalancing costs. Returns depend on volume being sustained. The capital commitment is indefinite.How Bolt LP Works Differently
Deposit
Make a single-sided deposit into an Outpost pool. No paired asset requirement. No price range to configure. Just deposit your chosen asset and start earning.
Settlement
The Bolt market maker uses your deposited liquidity to settle swaps at oracle-referenced prices. Every settled swap generates fees immediately. You earn proportionally to the volume settled through your capital.
Hedging
The market maker hedges all directional exposure on external venues in real time. Your deposited capital is never exposed to directional risk. The price movement that would create impermanent loss in a traditional AMM is handled by the market maker’s hedging.
Fee Accrual
Fees accrue on every swap settled through your liquidity. No impermanent loss. No rebalancing cost. Your capital stays in the pool and generates fees from every trade it settles.
Why There Is No Impermanent Loss
In traditional AMMs, the pool rebalances itself through the pricing curve. When you deposit 1 token A and 1 token B at a 1:1 price, and the price moves to 2:1, the pool ratio shifts. You end up holding more of the depreciating asset. This is impermanent loss. In Bolt, the market maker hedges externally. The pool ratio is managed through hedging, not through the pricing curve. LPs do not absorb any directional risk. The assets in the pool do not rebalance based on price movement. They refresh as part of the settlement-hedging cycle. Your capital always reflects what you deposited, plus or minus the fees you earned.Traditional AMM LP vs. Bolt LP
| Dimension | Traditional AMM LP | Bolt LP |
|---|---|---|
| Deposit type | Paired assets | Single-sided |
| Price management | Active range management | None required |
| Impermanent loss | Yes, increases with volatility | None, delta-neutral hedging |
| Fee source | Trading volume on the pool | Every swap settled through your liquidity |
| Rebalancing | LP absorbs cost | Market maker handles externally |
| Capital efficiency | Low, most capital is idle | High, capital actively deployed |
How Bolt Works
Technical overview of settlement, hedging, and execution flow.
Contact the Team
Get current details on LP participation and fee structures.