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Published on Jul 26, 2022

Market Balances

Author: Sidharth
#Glossary
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The outstanding amount of tokens that remain once a trade has been facilitated on the decentralized exchange (DEX) is known as Market Balance. In the traditional stock market, the buy/sell orders are fulfilled at the current price.

This pricing includes the brokerage change along with other intermediary fees. De-Fi completely mitigates the presence of a middleman by adopting liquidity pools on DEX. This significantly reduces the intermediary costs of placing an order.

Traders can simply connect their digital wallets on the DEX and trade one asset against another. Once the transaction is approved, they need to pay a small fee to the liquidity provider along with a gas fee and swap the tokens.


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