After arbitrage, a liquidity provider may end up with a greater amount of KUSD-T and slightly less DFL. Impermanent loss assesses the current value of their assets against what they would be worth if left sitting pretty in an exchange.
It's not as bad as it sounds (especially if you like both of the assets on the LP pair). If you hold KUSDT-DFL LP tokens and DFL goes down in price, if you withdraw liquidity, you will just have more DFL -- YAY... you will have suffered a little bit of impermanent loss on KUSDT in exchange for that -- big deal! You're now a few dragons richer!