@1inchnetwork
Moving liquidity across DeFi pools has hidden costs.
Transaction fees, slippage, impermanent loss crystallization, approval overhead - each reallocation step adds friction. For active LPs, these costs compound quickly.
The root cause: liquidity is fragmented across pools and protocols. Every move means closing one position before opening another.
We broke down the mechanics of reallocation friction and how shared liquidity layers can reduce it:
https://blog.1inch.com/the-hidden-cost-of-liquidity/