Range & fee summary
Bin price ladder
Price(i) = Active Price × (1 + Bin Step ÷ 10000)^i — shown for bins closest to the active bin.
| Bin offset | Bin price | % from active |
|---|
How it works
Classic AMMs like Uniswap v2 spread liquidity across an entire continuous price curve, so most of it sits far from the current price earning nothing. Meteora's DLMM instead carves the price axis into discrete bins, each trading at one fixed price with zero slippage inside it, similar in spirit to a limit-order book. The gap between adjacent bins is the bin step, set in basis points when the pool is created (common values run from 1 bps for stablecoin pairs to 100+ bps for volatile pairs), and every bin's price compounds off the active bin: Price(i) = ActivePrice × (1 + binStep/10000)^i. Depositing into N bins on each side of the active bin concentrates your capital into a band that earns trading fees only while the market price stays inside it — the moment price crosses your outermost bin, that side of your liquidity converts fully into one asset and stops earning until price re-enters the range. Fees themselves are two-part: a fixed base fee set by the pool, plus a dynamic fee that automatically increases when the active bin is moving through many bins quickly (high realized volatility), so LPs get compensated more during choppy conditions and less during calm ones.
Reading the numbers
At the defaults — $150 active price, a 20 basis-point (0.20%) bin step, and 10 bins deposited on each side — the bin directly above active prices at $150 × 1.002 = $150.30, and the range's upper edge lands at $150 × 1.002¹⁰ ≈ $153.03 while the lower edge lands at $150 × 1.002⁻¹⁰ ≈ $147.03, a total range width of about 4.0% of the current price. Because the bin step compounds, it would take roughly ln(2) ÷ ln(1.002) ≈ 347 bins on one side before price could double within the ladder — a reminder that bin count and price range are not linear once you're stacking many steps. On the fee side, a pool doing $500,000 in 24h volume against $200,000 of your liquidity sitting in range, at a combined 0.20% fee rate, projects to (500,000 × 0.002 × 365) ÷ 200,000 ≈ 182.5% annualized — but that number only holds for as long as price keeps trading through your 20-bin band; volume that happens above or below your range contributes nothing to it, which is why realized DLMM yields tend to run well below headline in-range projections over a full year.