If I understand your example correctly, then this would simply be a case of HODLing. It would be inaccurate to compare value appreciation of HODLing to value appreciation of investing in a liquidity pool because in the latter case, the value of your investment is dependent on a) the value of the pool's tokens (affected by demand and supply) + b) trading fees earned.
![DeFi Indexes Explained](/blog/content/images/size/w600/max/800/1-gFP8W8S4kkbrm59U4XtR8w.png)
DeFi Indexes Explained
DeFi indexes are the easiest way to get passive diversification for your crypto portfolio
By
Rebecca Mqamelo
in
DeFi