Tidal's edge · 02 of 3

Drop a sounding line before you commit capital.

Concentrated liquidity concentrates capital efficiency along with it. For bounds [Pa, Pb] around current price P, liquidity-per-dollar scales by 1 / (1 − √(Pa/Pb)) relative to full-range, v2-style provisioning — the standard result from Uniswap v3's tick-range formulation. Drag the bounds below to read the multiplier live.

Range model

Interactive

−60% Current price (P) +150%

Bounds [Pa, Pb]

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Capital efficiency

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L_range / L_v2 vs. full-range provisioning

Status at P

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Deterministic math, not a backtest: capital efficiency = 1 / (1 − √(Pa/Pb)), the standard concentrated-liquidity formula (Uniswap v3, §6.2). Realized fee APR depends on actual volatility and volume once mainnet pools are live — the multiplier only describes capital density, not outcome.

Reading the tradeoff

The multiplier and the exit probability move together — this is the core LP decision, not a side effect.

Narrower [Pa, Pb]

Higher L concentration → higher fee APR per dollar in-range. Also higher probability density of P exiting the bounds within a given horizon, and correspondingly more time accruing nothing while out of range.

Wider [Pa, Pb]

Lower efficiency multiplier, but the position tolerates more price movement before it stops accruing. Closer to v2-style full-range behavior as bounds widen.

Divergence loss

Concentrated positions carry a steeper divergence-loss (impermanent-loss) profile than full-range for the same price move, since the position's composition shifts faster inside a narrow band. Not modeled in the multiplier above — it measures capital density only.

Interaction with Session Guard

Session Guard's off-session widening effectively pushes [Pa, Pb] outward along this same curve for stock-token pairs — trading capital efficiency for a lower exit probability when NBBO quality is degraded. See Session Guard.