WBTC-DIGG staking - help in understanding "value staked"

Hi all, I discovered the Badger DAO in February after looking around for a good BTC staking project, and decided to jump in and contribute WBTC and DIGG to the Sett! Seems this is a best hope for progressing bitcoin into defi and so I am very much in support of this platform and now looking to buy some Badger tokens also for further securing of this space.

I have a bit of a concern at the moment which I hope someone who knows whats what here can help me with - I have contributed approx 0.05 WBTC and 0.05 DIGG to a UNI LP token in late february, and then staked that in these vaults. I suppose 0.05 BTC is worth almost 3000 USD and DIGG something similar.

However right now the app.badger.finance is saying that my total value is something like 2800-2900 USD. How is this valued? Is it possible that I have suffered such significant impermanent loss in the LP? As I cant see the internal operation of the sett I am at a loss as to understanding whether I am losing value in my LP or what is happening. I dont want to remove my LP stake as its supposed to be a very long term investment, and the ETH fees are ridiculous in any case so, withdrawing from the Sett is a very last resort for me.

Thanks for reading and hopefully someone can help me understand whats going on!

Happy badgering.
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Everyone in the wbtc/digg pair is in the same boat as you my friend. Digg is a rebasing token so everyday that it is less in price than btc the supply shrinks to try to make it more scarce so that the price will rise back up. Unfortunately since there is not much you can use Digg for right now there is no demand. So people see their amount shrinking and become discouraged and sell which keeps the price from rising back to equivalence with btc and so the negative rebases just keep happening. There are stability vaults coming soon that should help stabilize the price and hopefully new use cases too. Not financial advice but with the amount you have in and since you were planning on holding long term it probably makes more sense to hang on and hopefully you will make your money back. Withdrawing would probably just make your loss even worse with gas fees.

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Hi, thanks for the explanation and the support!
Indeed I have committed to HODLing in the SETT, so no worries in that. Yes I am not so disheartened to see the price fall, im 7 years into HODLing little bits and bobs of bitcoin so its all good. Just that I am rather new to LP provisioning and staking in general so its nice to hear that its all normal risk in this domain. Thanks and best wishes to everyone, lets hope this improves the wealth globally.

Lets badger the financial sector!
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