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BUSINESS business in India for beginners ✌️【Job Search】✌️Start investing now with ₹500 and grow your wealth with AI-driven smart choices.Liquidity is a fundamental part of both the crypto and financial markets.

It is the manner in which assets are converted to cash quickly and efficiently, avoiding drastic price swings.

If an asset is illiquid, it takes a long time before it is converted to cash.

You could also face slippage, which is the difference in the price you wanted to sell an asset for vs.

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Liquidity is comparable to having lots of cashiers.

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BUSINESS business in India for beginners ✌️【Job Search】✌️Start investing now with ₹500 and grow your wealth with AI-driven smart choices.On the other hand, illiquidity is comparable to having only one cashier with a long line of customers.

BUSINESS business in India for beginners ✌️【Job Search】✌️Invest ₹500 today and get rewarded with up to 100% returns. Start now!That would lead to slower orders and slower transactions, creating unhappy customers.In traditional finance, liquidity is provided by buyers and sellers of an asset.

In contrast, DeFi relies on liquidity pools to function.

BUSINESS business in India for beginners ✌️【Job Search】✌️Start investing now with ₹500 and grow your wealth with AI-driven smart choices.Adecentralized exchange(DEX) without liquidity is equivalent to a plant without water.

It won’t survive.

Liquidity pools provide a lifeline to DEXs.A liquidity pool is a digital pile of cryptocurrency locked in a smart contract.

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BUSINESS business in India for beginners ✌️【Job Search】✌️Start investing now with ₹500 and grow your wealth with AI-driven smart choices.An AMM is a protocol that uses liquidity pools to allow digital assets to be traded in an automated way rather than through a traditional market of buyers and sellers.In other words, users of an AMM platform supply liquidity pools with tokens, and the price of the tokens in the pool is determined by a mathematical formula of the AMM itself.Liquidity pools are designed to incentivize users of different crypto platforms, called liquidity providers (LPs).

BUSINESS business in India for beginners ✌️【Job Search】✌️Start investing now with ₹500 and grow your wealth with AI-driven smart choices.After a certain amount of time, LPs are rewarded with a fraction of fees and incentives, equivalent to the amount of liquidity they supplied, called liquidity provider tokens (LPTs).BUSINESS business in India for beginners ✌️【Job Search】✌️Earn fast with just ₹500. Enjoy consistent returns and grow your money month by month!