What are liquidity pools?

A liquidity pool is a collection of cryptocurrencies or digital assets that help facilitate more efficient financial transactions such as swapping, lending, and earning yield. People who put their assets in liquidity pools earn rewards on their deposits. These incentives via liquidity pools have helped drive liquidity to decentralized applications (DApps), enabling many of them to start competing with their centralized counterparts. As decentralized finance (DeFi) becomes more popular, it can scale to eventually outcompete traditional centralized financial services.
What are liquidity pools?
Anyone can earn yield by depositing select cryptoassets into liquidity pools on Bitcoin.com’s multichain Verse DEX. Check the rewards, measured in APY, available right now on Verse DEX pools here. Use Verse DEX to safely and securely swap crypto with low fees, including cross-chain trading between BTC, BCH, ETH and more.

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