Auto Crypto Market Making
Automated Crypto Market Making (ACMM) allow digital assets to be traded in a permissionless and automatic way by using liquidity pools rather than a traditional market of buyers and sellers. Users supply liquidity pools with crypto tokens, whose prices are determined by a constant mathematical formula. Instead of trading between buyers and sellers, users trade against a pool of tokens — a liquidity pool. Liquidity providers normally earn a fee for providing tokens to the pool. This fee is paid by traders who interact with the liquidity pool. This allows liquidity providers to be able to earn yield. Dividends.