Strategies
What is Strategy?
Strategies from WAGMI act as a multipool that combines three different V3 pools into one. These pools vary in fee tiers, which are as follows: 0.05%, 0.3%, and 1%.
Liquidity provided to this multipool is distributed among all three V3 pools based on a strategy chosen by the WAGMI protocol. WAGMI leverages historical data and analytics to configure liquidity allocation and price ranges across all fee tiers. This is done to maximize the profitability, efficiency, and safety of the liquidity position.
A strategy can be considered a form of liquidity management that WAGMI oversees. You don't need to wonder which pool is currently providing higher yields while keeping your funds secure. Our strategy ensures that price ranges in all pools are carefully selected, along with thoughtful diversification among them.
Furthermore, WAGMI is continuously monitoring strategies and analyzing current market conditions. This enables an auto-rebalance mechanism to adjust strategy settings in a way that ensures higher rewards at all times, regardless of market shifts. Your position will always be within a set price range.
Any losses that may occur due to rebalancing will be fully compensated with WAGMI tokens.
The protocol charges a 20% fee for managing strategies.
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