Base Asset
The Base Asset is a fungible fixed-range Uniswap v3 position that can be bonded in exchange for BLP tokens.
Pool: ETH/USDC
Fee: 0.05%
Range: 500 - 10,000
The Base Asset is composed of part ETH and part USDC which means that the USD value of the LP position varies according to the current ETH market price. This value is considered the intrinsic value of the Base Asset.
The following table depicts the intrinsic value in USD of a $1,000 liquidity position entered at $500 USD/ETH at different price points.
500
2
0
1,000.00
4.47 x
1,000
1.246
533.51
1,779.01
2.51 x
2,000
0.712
1,288.01
2,711.99
2.02 x
3,000
0.476
1,866.95
3,293.87
1.65 x
4,000
0.335
2,355.03
3,694.00
1.36 x
5,000
0.239
2,785.03
3,977.99
1.21 x
6,000
0.168
3,173.78
4,179.48
1.07 x
7,000
0.112
3,531.27
4,318.46
1.04 x
8,000
0.068
3,864.02
4,407.94
1.01 x
9,000
0.031
4,176.54
4,456.97
1.00 x
10,000
0.000
4,472.14
4,472.14
1.00 x
To determine if a position is in profit a user needs to take into account the intrinsic dollar value in which the position was created. Since positions can be created only if ETH is below 10K, all positions will be in profit once ETH reaches the target price.
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