Multiswap Glossary

  • Allocation: The distribution of tokens in an output, represented as a percentage of each token involved in the transaction.

  • Asset Fee: A fee charged for using the liquidity of a specific asset, with collected fees being paid to liquidity providers as an incentive.

  • Asset Token: A token owned by users that represents their holdings.

  • Basis Point: A unit representing price movements, where one basis point equals 0.01%

  • Fees Paid: The total fees traders pay liquidity providers for using their provided liquidity.

  • Impermanent Loss (IL): A temporary loss experienced by LPs when providing liquidity to a pool in AMMs, occurring when the price of tokens in the pool changes compared to their initial deposit price.

  • Loss Versus Rebalancing (LVR): A performance metric that compares the potential returns of holding assets in a pool against returns from periodically rebalancing the assets outside the pool, helping LPs evaluate their investments in an AMM.

  • Minimum Received: The lowest amount a trader can expect to receive after a trade is executed, accounting for price impact and fees.

  • Pool (LP) Token: A token representing a liquidity provider's share of the liquidity in a pool

  • Pool Weight: The proportion of each token in the pool, expressed as a percentage, indicating its relative importance within the pool.

  • Post-Trade Price: Price that has been calculated with consideration for the trade that will be executed

  • Pre-Trade Price: Price that has been calculated without consideration for the trade that will be executed

  • Price Impact: Also known as slippage, this refers to an asset's price change resulting from a trade execution, which can affect the final received amount.

  • Reserve: The total liquidity reserves held in the AMM for each token, used to facilitate trades

  • Total Sell Value: Total value of assets sold to the AMM.

  • Token List: List of tokens available on Multiswap.

  • Value (After Fees): The calculated value of a token after accounting for fees, representing the net value received by the trader.

  • Value (Before Fees): The calculated value of a token before accounting for any associated fees.

Last updated