How does an AMM price tokens? Many people can’t answer!
AMMs don’t require people to place orders and match them one by one. Instead, users trade directly with a pair of tokens in a liquidity pool.
An AMM’s price quote is determined solely by the ratio of the two tokens in the pool. When it differs from the external market price, arbitrageurs push it back toward that price.
Only put in funds you can afford to lose.
$UNI 7.774（+2.14%）
#UNI
AMMs don’t require people to place orders and match them one by one. Instead, users trade directly with a pair of tokens in a liquidity pool.
An AMM’s price quote is determined solely by the ratio of the two tokens in the pool. When it differs from the external market price, arbitrageurs push it back toward that price.
Only put in funds you can afford to lose.
$UNI 7.774（+2.14%）
#UNI