A JINQIAN trading frenzy on Robinhood-linked rails has cooled after the people involved denied the earlier "short squeeze stock" narrative tied to the JINQIAN/FAMI pair, according to BlockBeats. Looking back at the move, the biggest winners were not limited to top on-chain traders who caught the token rally. Traders who provided liquidity for JINQIAN pairs on Uniswap also saw unusually large fee returns during the run-up.
Data cited from Uniswap’s official interface showed that during JINQIAN’s first jump in market value, from $7 million to $60 million, the main JINQIAN/ETH pair reached a peak APR of 83,832%. That figure later fell to 79,708%. As of publication, a JINQIAN/USDG pool was still charging a 6% trading fee, with annualized APR shown at 126,440%.
BlockBeats said traders who bought JINQIAN during the rally and then set up a one-sided liquidity position at higher price levels, collected LP fees in time, and sold part of their JINQIAN may have achieved a better risk-reward profile than simply holding the token. The report also warned that market sentiment had become overly driven by FOMO and that on-chain scams were increasing, meaning LP strategies still cannot remove token price volatility risk.
A speculative run around JINQIAN on Robinhood-linked rails lost steam on Sept. 2 after the people involved denied the earlier "short squeeze stock" narrative tied to the JINQIAN/FAMI pair, according to BlockBeats.
A review of the move suggests that the biggest profits did not go only to leading on-chain traders. Some smart-money participants also made notable gains by providing liquidity for JINQIAN trading pairs on Uniswap.
Data from Uniswap’s official page showed that during JINQIAN’s first rise in market capitalization, from $7 million to $60 million, the main JINQIAN/ETH pair briefly posted a peak APR of 83,832%. That figure has since fallen to 79,708%. As of publication, a JINQIAN/USDG pool was still set with a 6% trading fee, and its annualized APR was listed at 126,440%.
BlockBeats said that if a trader bought JINQIAN during the surge, then built a one-sided liquidity pool position at higher price levels, collected LP fees in time, and sold part of the JINQIAN position, the risk-reward profile could be better than simply holding the token.
The report also warned that market sentiment has become excessively driven by FOMO and that on-chain scams are becoming more common. Even for LP positions built around popular meme tokens, price volatility risk cannot be fully avoided, and users should stay alert to investment risk.
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