In cryptocurrency and decentralized finance (DeFi), liquidity providers (LPs) play a critical role by depositing assets into liquidity pools, which are used to facilitate trades on decentralized exchanges (DEXs). LPs earn fees based on the trading volume that occurs in the pool, making it a lucrative opportunity for those who can afford to lock up capital in these pools. LPs contribute to the market by mitigating the risk of slippage and improving the efficiency of trading. However, involvement as an LP also exposes individuals to impermanent loss, which can occur when the value of the assets in the liquidity pool diverges significantly from their value when deposited.