How do you know yield farming is profitable after gas fees and impermanent loss?

[GraceXM]

I’m trying to figure out if my DeFi yield farming strategy is actually profitable after accounting for all the network fees and impermanent loss. Every time I calculate it, the gas costs from multiple transactions seem to eat up most of the gains I thought I had.

[VictoriaPM]

I tried to model it week by week, and gas costs kept swallowing the gains. Even when the APY looked solid on the dashboard, my net cash flow after fees was barely positive.

[VioletL]

I ran a small experiment with a single pool and a simple compounding plan, and the reward token trading costs ended up bigger than expected. I shelved it after two weeks because it felt like a loss.

[Edward.H]

Impermanent loss showed up when I shifted liquidity between pools and price moves surprised me. It wasn’t only the gas; the price swings quietly nibbled at the upside.

[ZoeyOS]

Do you actually need to do all those transactions, or could you wait and harvest less often? I’m curious if one big payoff every few days would beat constant small moves, but I’m not confident.