When are LP APYs 'real'? Markouts is a very interpretable tool to help answer!
Gyroscope's Dynamic E-CLP gained 4.5% last month in markouts, which is a direct trading PnL vs the market.
That's 69% annualized (compounded), which for this pool explains most swap APYs.
In contrast, beware of pools where markouts are much less (or negative!) than swap APYs. Those are pools where LPs will likely get rekt.
You also have to know what you're doing to achieve it.
Gyroscope's pools are the only ones we're aware of that generate consistently high *positive* trading PnL for LPs. Most other pools in aggregate are negative.
Cherry on top that Gyroscope's pools are completely passive.
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