ROE Finance



Users supply their LP tokens so that other users can borrow them in the pre-defined ways that ROE enables on our lending market. ROE LPs earn additional supply interest on top of their swap rewards.
When a user supplies their Uniswap or partner LP tokens on ROE Finance, they will receive ROE LP tokens which are valued 1 to 1 to their corresponding LP tokens. The yield generated would be in the form of ROE LP tokens which can be withdrawn back for the corresponding LP token at any time. For example, a user who deposits 1 WETH-USDC LP token into ROE Finance would receive 1 ROE WETH-USDC LP token. The yield generated would be in the form of ROE WETH-USDC LP tokens.
With Roe, your profit and loss on LP position(s) have now drastically improved. Below is how your PNL is calculated:
PNL=Trading Fees of LP+ROE Supply Interest −Impermanent LossPNL = Trading \space Fees \space of \space LP + ROE \space Supply \space Interest \space - Impermanent \space Loss

What are the risks?

By supplying LP tokens into ROE Finance, users assume smart contract risks that are unavoidable in all crypto protocols. ROE Finance manages this risk by forking battled tested lending market protocols and having our code base audited by accredited third parties. We keep our position manager contracts proprietary for now for safety purposes.