Automated Market Maker (AMM)
German: Automated Market Maker (AMM)
A smart contract that quotes prices from a mathematical curve over its own reserves, executing trades against a pool instead of matching orders.
Why people look this up
Readers with market microstructure background asking how price formation and liquidity provision actually work.
Auf Deutsch
Automated Market Maker (AMM) — Ein Smart Contract, der Preise anhand einer mathematischen Kurve über die eigenen Reserven stellt und Geschäfte gegen einen Pool statt gegen Orders ausführt.
Related terms
Looking for how this maps to its traditional-finance counterpart rather than a standalone definition? See the Term Bridge, which also flags where the obvious analogy is wrong.