In the fast-paced world of DeFi on Solana, liquidity providing (LP) has become a go-to strategy for traders looking to earn passive income through fees. Recently, popular crypto enthusiast and Meteora LP Army mod @satsmonkes shared an intriguing update on his latest position involving the $ORE token. If you're into meme tokens or just curious about how to optimize yields in volatile markets, this thread offers some valuable insights.

The Initial Setup: Going Single-Sided on $ORE/USDC

@satsmonkes kicked things off by announcing a switch to $ORE after a previous play on $ZEC. For those new to the scene, $ORE is a Solana-based cryptocurrency inspired by proof-of-work mining, often categorized as a meme token due to its community-driven hype and unique distribution model. He set up a single-sided USDC position—meaning he's providing liquidity only in USDC, the stablecoin, without needing to hold the volatile $ORE side. This reduces risk since you don't have to worry about impermanent loss from price swings on both assets.

The setup breaks down like this:

• 50% SPOT: This refers to spot liquidity, where your funds are available at the current market price.
• 50% Bid-Ask: This spreads your liquidity across buy (bid) and sell (ask) orders around the price.
• Range: -26%: He's concentrating the liquidity in a price range 26% below the current spot, betting on potential dips or stability in that zone.
• Position Size: $10K: A decent chunk to test the waters, aimed at an intraday play but with plans for updates.

He mentioned this on X (formerly Twitter), explaining his shift away from memecoins. "People keep asking why I’m doing fewer memecoins honestly, the risk/reward isn’t great right now," he noted. Instead, he's focusing on trending tokens like $ORE to capture higher volumes with larger positions. Smart move in a market where memecoins can pump and dump overnight, leaving LPs in the dust.

The 15-Hour Update: Strong Yields Emerge

Fast forward 15 hours, and @satsmonkes dropped an exciting follow-up in the same thread on X. The position hit a solid 3.08% 24-hour FEE/TVL (Fees to Total Value Locked) ratio. In simple terms, FEE/TVL measures how much in trading fees your locked liquidity is earning relative to its total value—think of it as your yield percentage. A 3%+ in just a day is impressive, especially for a setup like this.

"I'm excited to see how it performs over several days, especially if we stay within this range," he added, tagging Meteora with a shoutout to their "Gud Fee Tek" (good fee tech). Meteora is a dynamic liquidity protocol on Solana that allows for advanced LP strategies, like the DLMM (Dynamic Liquidity Market Maker) he seems to be using here.

Why This Matters for Meme Token Enthusiasts

Even though @satsmonkes is dialing back on pure memecoins, his approach highlights a broader trend in the crypto space. Meme tokens often thrive on hype, but when the buzz fades, liquidity dries up, and yields plummet. By pivoting to tokens like $ORE—which combines meme appeal with actual utility through its mining mechanics—traders can potentially lock in better risk-adjusted returns.

If you're a blockchain practitioner dipping into DeFi, tools like Meteora make it easier to experiment without getting rekt. Always remember to DYOR (do your own research) and start small, as market conditions can change rapidly. For more on $ORE, check out its official details on CoinMarketCap.

Community Reactions and Next Steps

The thread sparked some engagement, with replies from fellow Meteora users cheering on the yields and sharing their own LP tips. One user asked about the app used, hinting at the variety of interfaces available for these setups. If @satsmonkes keeps updating, we'll be watching closely—perhaps this could evolve into a longer-term hold if the range holds.

Stay tuned to Meme Insider for more breakdowns on strategies that bridge meme tokens and serious DeFi plays. What's your take on LP'ing trending tokens versus pure memes? Drop your thoughts in the comments!