⚡
ION Finance doc
  • ⚡WELCOME TO ION FINANCE
    • What is ION Finance?
    • What can I do on ION Finance?
    • Why is ION Finance Different?
    • Constant Product Market Maker (CPMM)
    • Hybrid Orderbook Automatic Market Maker (AMM)
  • ⁉️FAQ
    • What unique features does ION Finance offer to its users?
    • How does the <<Convert>> feature work on ION Finance?
    • Can you explain the concept of <<Bins>> on ION Finance?
    • What are the benefits for liquidity providers (LPs) on ION Finance?
    • How does ION work within the DeFi space?
    • What is AMM?
    • What is Slippage?
  • 💡Guidelines
    • Create a wallet!
    • For Traders
      • 🔄How to use <<Convert>>
      • 💹How to use <<Trade>>
    • For Liquidity Providers
      • 💰How to use <<Earn>>
      • 🖼️How to use <<Portfolio>>
    • Creating a liquidity pool
  • 📖Concepts
    • Order book
    • Bin
    • Liquidity Provider
    • Liquidity Concentration
    • LP Token
    • Implementing Limit Orders
  • 📜Whitepaper
    • ION Finance Whitepaper
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  1. Concepts

Liquidity Concentration

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Last updated 1 year ago

Liquidity providers select specific to supply liquidity. Rational providers will likely choose bins where high trading volumes are anticipated. This targeted approach means liquidity tends to be concentrated in areas where future trading is expected. As market conditions and prices shift, rational liquidity providers adjust their allocations, ensuring a consistently deep liquidity environment for traders.

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bins