Liquidity Bootstrapping Pool (LBP)

Home / Glossary / Liquidity Bootstrapping Pool (LBP)

Liquidity Bootstrapping Pool (LBP)

What is Liquidity Bootstrapping Pool (LBP)?

A liquidity bootstrap pool (LBP) enables new token developers to use a decentralized exchange to create cash or liquidity for their businesses. With the help of this new kind of LP, token developers may distribute their new assets more effectively while also generating liquidity with less initial investment.

Pools with high liquidity are a wonderful approach for developers to launch new coins. They combine a new cryptocurrency token with an asset that is more liquid (has a greater trading volume) in order to attract traders to that pool and, consequently, to the new token.


My Newsletter

Sign Up For Updates & Newsletters