Liquidity Pool vs Total Value Locked (TVL)
Quick comparison to help you distinguish these two crypto terms.
Liquidity Pool
intermediate
fundamentals
A liquidity pool is a smart contract holding reserves of two or more tokens that users deposit to enable decentralized trading, earning a share of transaction fees in return.
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intermediate
market_structure
Total Value Locked (TVL) is the total monetary value of all cryptocurrency assets deposited and actively held within a decentralized finance protocol at a given moment.
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