LP Tokens

« Back to Glossary Index

The LP tokens or the Liquidity Provider tokens are those coins that are issued to the liquidity providers (decentralized exchange users funding a liquidity pool with their owned tokens) on a Decentralized Exchange (DEX) running on an Automated Market Maker (AMM) protocol. Some popular DEXs that distribute the LP tokens to their liquidity providers are Sushi, Uniswap and PancakeSwap.

« Back to Glossary Index

Check Also


New Mining Strategies You Need To Incorporate After Crypto Halving

Good News! The Bitcoin network has already crossed its 800,000th block at the end of …