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  3. /Balancer
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defi

Balancer

A DEX and automated portfolio manager that allows liquidity pools with multiple tokens in custom ratios, not just the standard 50/50 split.

Definition

A DEX and automated portfolio manager that allows liquidity pools with multiple tokens in custom ratios, not just the standard 50/50 split. This means you can create a pool that's 80% ETH and 20% USDC, for example. Balancer V2 introduced a single vault architecture for gas efficiency.

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Related Terms

DEX (Decentralized Exchange)

A cryptocurrency exchange that operates without a central authority, using smart contracts to facilitate trades.

AMM (Automated Market Maker)

A type of decentralized exchange that uses math formulas instead of order books to price trades.

Liquidity Pool

A pool of tokens locked in a smart contract that enables decentralized trading.

1inch

A DEX aggregator that splits trades across multiple decentralized exchanges to find the best overall price.

Aave

One of the biggest lending and borrowing protocols in DeFi.

Across Protocol

A cross-chain bridge that uses an optimistic verification system and a network of relayers to move tokens between chains quickly.

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