🚦 getIL

stabilitydao · Feb 16, 2025 · c0bd329 · c0bd329
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diff --git a/README.md b/README.md
@@ -260,6 +260,21 @@ import { tokenlist } from "@stabilitydao/stability";
 
 </details>
 
+### 🚦 Risk
+
+<details>
+<summary>what is included</summary>
+
+#### Types
+
+- `IlDetails`
+
+#### Methods
+
+- `getIL = (strategyShortId: StrategyShortId, specific: string, assets: 0x${string}[]): IlDetails | undefined`
+
+</details>
+
 ## 👷 Develop
 
 ### How to
@@ -293,5 +308,6 @@ yarn prettier . --write
 | Sync state, etc    | ♻️️    |
 | Content generators | 🎇     |
 | Bridge             | 🌉     |
+| Risk               | 🚦     |
 | Prettier           | #️⃣     |
 | Docs               | 📙     |
diff --git a/src/index.ts b/src/index.ts
@@ -61,6 +61,7 @@ import {
   getContestReward,
 } from "./contests";
 import { AssetOracle, assetOracles, vaultOracles } from "./oracles";
+import { IlDetails, getIL } from "./risk";
 
 export {
   deployments,
@@ -120,4 +121,6 @@ export {
   getTokenData,
   TokenData,
   sonicWhitelistedAssets,
+  getIL,
+  IlDetails,
 };
diff --git a/src/risk.ts b/src/risk.ts
@@ -0,0 +1,189 @@
+import { StrategyShortId } from "./strategies";
+import { getTokenData } from "./assets";
+
+export type IlDetails = {
+  rate: number;
+  title: string;
+  desc: string;
+  color: string;
+};
+
+export const IL /*: {[ilId: string]: IlDetails}*/ = {
+  ALM_FILLUP_AGGRESSIVE: {
+    rate: 10,
+    title: "Very high",
+    desc: "This preset of an ALM provides liquidity in the very narrow range, and very often re-balancing it by Fill-Up algo. Every re-balancing results in a loss. The higher the volatility of the pair, the more re-balancing and the greater the loss.",
+    color: "#ff0000",
+  },
+  ALM_FILLUP_NARROW: {
+    rate: 8,
+    title: "High",
+    desc: "This preset of an ALM provides liquidity in the narrow range, and often re-balancing it by Fill-Up algo. Every re-balancing results in a loss. The higher the volatility of the pair, the more re-balancing and the greater the loss.",
+    color: "#f55e11",
+  },
+  ALM_VOLATILE_HIGH: {
+    rate: 7,
+    title: "HIGH",
+    desc: "Significant impermanent loss was noted during re-balancing with this ALM in volatile pools.",
+    color: "#f55e11",
+  },
+  ALM_FILLUP_WIDE: {
+    rate: 5,
+    title: "Medium",
+    desc: "This preset of an ALM provides liquidity in the wide range, re-balancing the position infrequently. Every re-balancing results in a loss. The higher the volatility of the pair, the more re-balancing and the greater the loss.",
+    color: "#F5DA5B",
+  },
+  ALM_STABLE_DEPEG_MEDIUM: {
+    rate: 5,
+    title: "Medium",
+    desc: "We catch significant IL in stablecoin pairs with this strategy when depeg become..",
+    color: "#F5DA5B",
+  },
+  ALM_SINGLE_SIDED: {
+    rate: 4,
+    title: "Medium",
+    desc: "The strategy of the underlying ALM provides liquidity in the very wide range, not often re-balancing the position.",
+    color: "#F5DA5B",
+  },
+  ALM_STRETCHED: {
+    rate: 3,
+    title: "Low",
+    desc: "We expect low impermanent loss for such stretched range.",
+    color: "#D7F55B",
+  },
+  CLASSIC_vAMM: {
+    rate: 3,
+    title: "Low",
+    desc: "Low impermanent loss is expected for UniswapV2-like and similar not CL AMMs.",
+    color: "#D7F55B",
+  },
+  ALM_PEGGED: {
+    rate: 3,
+    title: "Low",
+    desc: "The strategy of the underlying liquidity provider developed for pegged assets.",
+    color: "#D7F55B",
+  },
+  ALM_STABLE_EXPAND: {
+    rate: 1,
+    title: "Zero exp",
+    desc: "The strategy of the underlying liquidity provider can re-balance the position by expanding it, but this happens extremely rarely, only at times of high volatility of the assets in the pool.",
+    color: "#7af996",
+  },
+  CL_STABLE_FIXED: {
+    rate: 1,
+    title: "Zero exp",
+    desc: "Liquidity in the form of stablecoins is provided in a fixed range, there are no re-balances, so there are no impermanent losses.",
+    color: "#7af996",
+  },
+  STABLE_SWAP: {
+    rate: 1,
+    title: "Zero exp",
+    desc: "If asset prices in the stable pool are kept pegged, there are no impermanent losses.",
+    color: "#7af996",
+  },
+  LENDING: {
+    rate: 0,
+    title: "None",
+    desc: "Providing assets to the lending protocol does not incur impermanent losses.",
+    color: "#4aff71",
+  },
+};
+
+export const getIL = (
+  strategyShortId: StrategyShortId,
+  specific: string,
+  assets: `0x${string}`[],
+): IlDetails | undefined => {
+  if (
+    [
+      StrategyShortId.SiF,
+      StrategyShortId.Y,
+      StrategyShortId.SL,
+      StrategyShortId.SiL,
+      StrategyShortId.CF,
+    ].includes(strategyShortId)
+  ) {
+    return IL.LENDING;
+  }
+
+  if (
+    [
+      StrategyShortId.IQMF,
+      StrategyShortId.IRMF,
+      StrategyShortId.IRBMF,
+      StrategyShortId.IPF,
+      StrategyShortId.IRF,
+      StrategyShortId.ISF,
+      StrategyShortId.IEF,
+    ].includes(strategyShortId)
+  ) {
+    return IL.ALM_SINGLE_SIDED;
+  }
+
+  if (
+    [
+      StrategyShortId.GQMF,
+      StrategyShortId.GUMF,
+      StrategyShortId.GRMF,
+      StrategyShortId.GEF,
+    ].includes(strategyShortId)
+  ) {
+    if (specific.toLowerCase() === "narrow") {
+      return IL.ALM_FILLUP_NARROW;
+    }
+    if (specific.toLowerCase() === "wide") {
+      return IL.ALM_FILLUP_WIDE;
+    }
+    if (specific.toLowerCase() === "stable") {
+      return IL.ALM_STABLE_EXPAND;
+    }
+    if (specific.toLowerCase() === "pegged") {
+      return IL.ALM_PEGGED;
+    }
+  }
+
+  if ([StrategyShortId.BSF, StrategyShortId.CCF].includes(strategyShortId)) {
+    return IL.STABLE_SWAP;
+  }
+
+  if (strategyShortId == StrategyShortId.QSMF) {
+    return IL.CL_STABLE_FIXED;
+  }
+
+  if (strategyShortId == StrategyShortId.TPF) {
+    let onlyStables = true;
+    for (const asset of assets) {
+      const tokenData = getTokenData(asset);
+      if (!tokenData || !tokenData.tags?.includes("stablecoin")) {
+        onlyStables = false;
+      }
+    }
+    return onlyStables ? IL.ALM_STABLE_DEPEG_MEDIUM : IL.ALM_VOLATILE_HIGH;
+  }
+
+  if ([StrategyShortId.SF, StrategyShortId.EF].includes(strategyShortId)) {
+    return specific.toLowerCase() == "slp" ? IL.STABLE_SWAP : IL.CLASSIC_vAMM;
+  }
+
+  if (strategyShortId == StrategyShortId.BWF) {
+    return IL.CLASSIC_vAMM;
+  }
+
+  if (strategyShortId == StrategyShortId.ASF) {
+    if (specific.toLowerCase().match(/aggressive$/)) {
+      return IL.ALM_FILLUP_AGGRESSIVE;
+    }
+    if (specific.toLowerCase().match(/narrow$/)) {
+      return IL.ALM_FILLUP_NARROW;
+    }
+    if (specific.toLowerCase().match(/stretched$/)) {
+      return IL.ALM_STRETCHED;
+    }
+  }
+
+  if (strategyShortId == StrategyShortId.DQMF) {
+    return IL.ALM_VOLATILE_HIGH;
+  }
+
+  return undefined;
+};
diff --git a/tests/risk.test.ts b/tests/risk.test.ts
@@ -0,0 +1,111 @@
+import { getIL, StrategyShortId } from "../src";
+
+describe("testing risk", () => {
+  test("getIL", () => {
+    const data = [
+      ["DQMF", "Narrow 0x29f1..e22d", []],
+      ["IQMF", "0x5d1b..ccb3", []],
+      ["CF", "", []],
+      ["Y", "", []],
+      ["GRMF", "Narrow", []],
+      ["QSMF", "276300 276360", []],
+      ["GQMF", "Stable", []],
+      ["CCF", "", []],
+      ["IRMF", "0xe9bd..8283", []],
+      ["GQMF", "Narrow", []],
+      ["GQMF", "Narrow", []],
+      ["ISF", "stS", []],
+      ["SF", "vLP", []],
+      ["SF", "sLP", []],
+      ["ASF", "Fill-Up Narrow", []],
+      ["SiL", "3 stS x17.4", []],
+      ["EF", "vLP", []],
+      ["ASF", "Fill-Up Aggressive", []],
+      ["GUMF", "Narrow", []],
+      ["BSF", "", []],
+      ["BWF", "", []],
+      ["SiF", "", []],
+      ["ASF", "Fill-Up Stretched", []],
+      ["GUMF", "Pegged", []],
+      ["GUMF", "Stable", []],
+      ["GUMF", "wide", []],
+      [
+        "TPF",
+        "",
+        [
+          "0x25ea98ac87A38142561eA70143fd44c4772A16b6",
+          "0x83feDBc0B85c6e29B589aA6BdefB1Cc581935ECD",
+        ],
+      ],
+      [
+        "TPF",
+        "",
+        [
+          "0x6B2e0fACD2F2A8f407aC591067Ac06b5d29247E4",
+          "0x90c6E93849E06EC7478ba24522329d14A5954Df4",
+        ],
+      ],
+      [
+        "TPF",
+        "",
+        [
+          "0x75d0cBF342060b14c2fC756fd6E717dFeb5B1B70",
+          "0xc518A88c67CECA8B3f24c4562CB71deeB2AF86B7",
+        ],
+      ],
+      [
+        "TPF",
+        "",
+        [
+          "0x75d0cBF342060b14c2fC756fd6E717dFeb5B1B70",
+          "0x83feDBc0B85c6e29B589aA6BdefB1Cc581935ECD",
+        ],
+      ],
+      [
+        "TPF",
+        "",
+        [
+          "0x83feDBc0B85c6e29B589aA6BdefB1Cc581935ECD",
+          "0x90c6E93849E06EC7478ba24522329d14A5954Df4",
+        ],
+      ],
+      [
+        "TPF",
+        "",
+        [
+          "0x83feDBc0B85c6e29B589aA6BdefB1Cc581935ECD",
+          "0xAEC9e50e3397f9ddC635C6c429C8C7eca418a143",
+        ],
+      ],
+      [
+        "TPF",
+        "",
+        [
+          "0x90c6E93849E06EC7478ba24522329d14A5954Df4",
+          "0xc518A88c67CECA8B3f24c4562CB71deeB2AF86B7",
+        ],
+      ],
+      [
+        "TPF",
+        "",
+        [
+          "0x25ea98ac87A38142561eA70143fd44c4772A16b6",
+          "0xc518A88c67CECA8B3f24c4562CB71deeB2AF86B7",
+        ],
+      ],
+    ];
+    for (const item of data) {
+      const il = getIL(
+        item[0] as StrategyShortId,
+        item[1] as string,
+        item[2] as `0x${string}`[],
+      );
+      if (!il) {
+        console.log(item);
+      }
+      expect(!!il).toEqual(true);
+    }
+    const und = getIL("AAA_UNKN" as StrategyShortId, "", []);
+    expect(und).toEqual(undefined);
+  });
+});