Defining Finance - Liquidity Pool(s)
- Keyword Financial
- Jul 31, 2022
- 3 min read
Updated: Nov 1, 2022
Traditionally, exchanges acted as the market makers, providing the liquidity needed for traders to buy and sell crypto assets. Since liquidity was held by a single entity, Binance, Coinbase, FTX, and others, which act in this way, are referred to as centralized exchanges (CEXs).
