CASE-08 · 16 min
Exiting into thin liquidity
Type of case study: Constructed scenario with invented figures. No real incident, no real protocol.
Scenario
A position is to be unwound. The quoted price looks unchanged and the pool is reported as deep enough. The question is what actually arrives on selling this particular size — and from what amount the answer starts depending on the order in which it is sold.
Data
- Position
- USD 1.8m of value
- Reported pool depth
- USD 24m
- Share of depth inside the tight band
- about 15 % of the USD 24m
- Largest single address in the pool
- 38 % of the depth
- Daily volume, median
- USD 2.1m
- Second venue for the same pair
- exists, roughly a third of the depth
Questions
Why does “USD 24m of depth” not support the statement “1.8m can be sold without trouble”?
State the exit condition for this position so it is observable.
Analysis dimensions exercised
Sources
- EVD-2026-0008 — DeFiLlama: DeFiLlama yields endpoint (/pools)
Institutional perspectives
Asset management · Bank