What does closed liquidity mean?

Last modified: April 16, 2026

A liquidity position is closed when the provider has withdrawn all deposited tokens and any accrued swap fees from the pool. The position no longer participates in trading and no longer earns fees.

What happens on closure

When you remove liquidity from a CenturionDEX pool:

1. The protocol calculates your share of the pool's current reserves and any uncollected fees.
2. Both token amounts are returned to your wallet in a single transaction.
3. The position is marked as closed. On v3, the position NFT remains in your wallet as a record but represents zero active liquidity.

After closing

• No further fee income. Swap fees are only earned while liquidity is active and the pool's price is within the position's range (v3) or while the position exists (v2).
• No further impermanent loss. Once withdrawn, your token balances are fixed. Any impermanent loss at the time of withdrawal is realized and becomes permanent.
• Re-entry is possible. Closing a position does not prevent you from opening a new one in the same pool — or any other pool — at any time.

Why positions are closed

Providers typically close positions to lock in profits, cut losses, rebalance their portfolio, or redeploy capital into a different pool or price range.