How to evaluate a liquidity pool (TVL, APR, trading volume)

Learn how to read the main liquidity pool metrics on STON.fi and use them to assess pool size, activity, and potential fee generation.

In this guide you’ll:

✅ Understand what TVL, APR, and 24h volume mean

✅ See how these metrics affect trading conditions and liquidity provision

✅ Learn what “My Liquidity” shows in the pool list

✅ Understand why pool metrics change over time

When you open the Pools tab on STON.fi, you’ll see a list of available liquidity pools and several metrics.

These metrics help you quickly assess how large a pool is, how actively it is used, and what kind of fee-based returns it may generate for liquidity providers.

⚠️ Important: pool data is dynamic. As new tokens appear and market conditions change, both the list of pools and their metrics can change significantly. This means the values you see in screenshots may differ from what you currently see in the app.

APR

ℹ️ APR (Annual Percentage Rate) shows the estimated annualized return from the pool, expressed as a percentage.

On STON.fi, this value is based on recent pool activity, typically using data from the last 24 hours.

In simple terms, APR answers this question: if the recent trading activity and liquidity size stayed roughly the same for a full year, what annual return might liquidity providers earn?

But in DeFi, conditions rarely stay unchanged. Trading volume, fees, token prices, and liquidity levels move constantly, so APR can rise or fall from day to day.

⚠️ APR is not a guaranteed return. It is only an estimate based on recent data. Past performance does not guarantee future results.

TVL

ℹ️ TVL (Total Value Locked) is the total dollar value of tokens currently deposited in a liquidity pool.

This metric helps you understand the pool’s size.

In general:

• Higher TVL usually means deeper liquidity

• Deeper liquidity usually means lower price impact for swaps

• Larger pools are typically better able to handle bigger trades

That does not automatically make a pool better in every sense, but it usually means the pool is more stable from a trading perspective.

Volume (24h)

ℹ️ Volume (24h) shows how much trading activity passed through the pool over the last 24 hours.

This metric helps you understand whether the pool is actually being used.

In general:

• Higher volume means the pool is seeing more trading activity

• More trading activity usually means more swap fees are being generated

• More fees can mean better earnings for liquidity providers

A pool with high TVL but very low volume may be large, but not especially productive. A pool with strong volume relative to its size may generate fees more efficiently.

My Liquidity

My Liquidity shows how much liquidity you personally have provided to that pool, expressed in dollar terms.

This helps you quickly see whether you already have an active position in a pool and how large it is compared to others in your portfolio.

How to read these metrics together

It’s better not to look at any one metric in isolation. A more practical approach is:

• TVL helps you judge pool depth

• Volume helps you judge recent activity

• APR helps you estimate recent fee-based return potential

For example:

• A pool with high TVL + high volume may be deep and actively used

• A pool with low TVL + high volume may offer strong fee generation, but can also be more volatile

• A pool with high TVL + low volume may be stable, but less efficient from an earnings perspective

Bottom line

Pool metrics help you evaluate how a liquidity pool is functioning right now.

APR → estimated return based on recent activity

TVL → pool size and liquidity depth

Volume (24h) → recent trading activity

My Liquidity → your personal position in the pool

Understanding these metrics makes it easier to compare pools and make more informed decisions before providing liquidity.