Liquidity

Short Description:

The ability to buy and sell assets on demand with minimal price impact.

Main Description:

Liquidity refers to the degree of availability and ease with which tokens can be bought, sold, or exchanged for other digital assets or fiat currencies. High liquidity indicates a deep and active market where there are ample opportunities for participants to trade seamlessly and at competitive prices. Liquidity is crucial for efficient and swift transactions, as it minimizes price slippage and facilitates the exchange of different currencies or assets.