Zecrey
  • Introduction
  • Zecrey Onepager
  • Announcements
    • Zecrey Public Testnet Announcement
    • Zecrey Testnet Beta Internal Test Announcement
    • Zecrey Ambassador Program Annoucement
  • Go & JS SDK Basic Guides
    • 1. Install and Initialize
    • 2. Get Data
    • 3. SDK Signature
    • 4. Register Users
    • 5. Mint Assets
    • 6. Creating Orders
    • 7. Match Orders
    • 8. Asset Deposits
    • 9. Asset Transfers
    • 10. Asset Withdrawals
    • 11. Full Exit
    • 12. Demo of SDK Calling
  • Education
    • Zecrey Video Guide
    • Concepts Explained
      • Crypto Knowledge
        • Layer 1 (L1)
        • Layer 2 (L2)
        • ZK-Rollup
        • Gas Fee
        • NFT
      • Zecrey Basics
        • Multi-chain asset management
        • Zecrey L1 wallet
        • Zecrey Legend L2 wallet
        • Zecrey Zero L2 wallet
        • Deposit
        • Withdraw
        • Zecrey DEX
      • The State of Transactions
    • Get Started
      • How to import an account?
      • How to create a new account?
      • How to receive and send assets with QR code?
      • How to export the private key?
      • How to export the recovery phrase?
      • How to use Zecrey NFT Marketplace?
      • How to adjust the gas fee?
      • How to check my transaction record?
      • How to manage my contacts?
      • How to set the language?
      • How to give feedback?
    • FAQs
  • Product Handbook
    • Zecrey Products Introduction
    • Set up your Zecrey Wallet
      • Download and Install Zecrey
      • Create a New Wallet
      • Import an Existing Wallet with Mnemonic
      • Claim Test Tokens for Testnet
      • Testing Requirements
      • Rewards for Phase II Testnet
    • Zecrey L1 Wallet
      • Multi-chain Assets Management
      • L1 Transfer
      • Deposit
      • L1 NFT Management
        • View NFT Assets
        • L1 NFT Transfer
        • NFT Deposit
    • Zecrey Legend L2
      • L2 Account Registration
      • L2 Transfer
      • Withdraw
    • Zecrey NFT Marketplace
      • Explore NFT Marketplace
      • Connect Zecrey Extension to NFT Marketplace
      • Create NFT Collection
      • Mint NFT
      • Buy NFT
      • Sell NFT
      • Transfer NFT
      • Withdraw NFT
      • View NFT Assets
      • Manage NFT Transactions
Powered by GitBook
On this page
  • What is Zecrey L2 swap?
  • What is Liquidity?

Was this helpful?

  1. Education
  2. Concepts Explained
  3. Zecrey Basics

Zecrey DEX

What is Zecrey L2 swap?

Swap in Zecrey L2 is a typical decentralized exchange (DEX) based on an automatic market maker (AMM). Users can deposit assets into L2 to swap for target assets, and add liquidity to earn benefits. On Zero, the gas token of swap can be any token supported by Zecrey.

What is Liquidity?

In Zecrey, Liquidity providers(LP) will receive REY token at a certain APY as a reward for providing liquidity to the liquidity pool of decentralized swap DEX. The liquidity pool is a pool of tokens locked in a smart contract to increase market liquidity among traders. A liquidity pool has two kinds of tokens, which is a trading pair. When a new liquidity pool is created, the first LP will set the initial price in the pool. If that price in the pool is inconsistent with the global market, there will be profitable arbitrage opportunities and the LP will suffer impermanent losses. So the LP is incentivized to keep the exchange ratio of the two assets close to the market price.

PreviousWithdrawNextThe State of Transactions

Last updated 2 years ago

Was this helpful?