Pool
A liquidity pool refers to a special type of smart contract used to store and manage the liquidity of asset pairs. Liquidity pools allow users to trade crypto assets without the need for intermediaries.
Composition of Liquidity Pool
Within the Trado exchange, TLP serves as the liquidity provider token. Purchasing TLP is equivalent to providing liquidity to the platform, while selling TLP means withdrawing liquidity.
As liquidity providers (LPs), they act as counterparties to all trades on the platform. When traders profit (positive gains), LPs incur losses; when traders incur losses (negative gains), LPs profit.
LP profit and loss data, TLP price charts, and other statistical data can be viewed in the "Portfolio" - "Overview" section.
How to Provide Liquidity
For instructions on providing liquidity, please refer to the How to Provide Liquidity?
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