Virtual AMM (vAMM)
By CoinGecko | Updated on Aug 13, 2021
An automated market maker (AMM) is a system that uses automated trading to offer liquidity to the exchange in which it operates. As the “virtual” part of the name implies, the vAMM functions similarly like an AMM but does not contain an actual asset pool. The real asset is instead stored in a smart contract vault that keeps track of all of the vAMM's collateral.
Related Terms
Bots
Refers to software or programmes that automatically trade based on preset behaviours.
Margin Trading
It is a way of investing by borrowing money from a broker (or in crypto, an exchange or platform) to trade
Wei
The smallest fraction of an Ether, with each Ether to 1000000000000000000 Wei.
Genesis Block
It is the first block of data that is processed and validated to form a new blockchain, typically called as 'block 0' or 'block 1'.
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