Essential terminology for decentralized finance protocols and mechanisms
Automated Market Maker - algorithm-based liquidity and pricing
Decentralized Exchange - non-custodial trading platform
Smart contract holding paired tokens for trading
Price difference between expected and executed trade
Time-Weighted Average Price over a period
Earning rewards by providing liquidity or staking
Value loss from providing liquidity vs holding tokens
Annual returns with vs without compounding
Uncollateralized loan repaid within one transaction
Total Value Locked - assets deposited in a protocol
External data feed for smart contracts
Token granting voting rights in protocol decisions