Elon Musk talks Crypto：Liquidity

Liquidity

Liquidity indicates how easy it is to convert a cryptocurrency into cash quickly — and whether this can be achieved without the asset’s value suffering.

Lower Low

A lower low is when the price of a cryptocurrency closes lower than the previous day, which itself closed at a low.

Liquidity Bootstrapping Pool (LBP)

A liquidity bootstrapping pool is essentially a contract that manages a core pool containing tokens to be used on an exchange.

Lower High

A lower high is when the price of a cryptocurrency closes at a high but lower than the previous day.

Liquidity Hooks

A Liquidity Hook is a highly composable plugin for liquidity, enabling protocols to seamlessly integrate with platforms for capital access and developing yield/trading strategies.

Lovelace

The smallest denomination of ADA is called Lovelace.

Liquidity Mining

Liquidity mining is a mechanism or process in which participants supply cryptocurrencies into liquidity pools, and are rewarded with fees and tokens based on their share of the total pool liquidity.

Liquidity Provider Tokens (LP Tokens)

Liquidity provider tokens or LP tokens are tokens issued to liquidity providers on a decentralized exchange (DEX) that run on an automated market maker (AMM) protocol.

Liveness

A guarantee that a system will continue to provide data, and that no centralized authority can shut down its services.

Long

A situation where you buy a cryptocurrency with the expectation of selling it at a higher price for profit later.

LMD GHOST

LMD GHOST (aka the GHOST Protocol) is a fork-choice rule that allows the nodes in a blockchain network to reach an agreement on the valid state of the ledger.

Mainchain

A mainchain is the base blockchain layer where all transactions are processed and finalized.

Loan-to-value (LTV)

Used by lenders, loan-to-value (LTV) is the assessment ratio of risk involved while approving a loan. Simply, it is the ratio of the loan's value to the value of the collateral.

Mainnet

An independent blockchain running its own network with its own technology and protocol.

Location Swap

Location swap allows the change of claim to the assets manifested in the form of a token with no effect on other attributes.

Margin Call

When an investor’s account value falls below the margin maintenance amount.

Longing (Long Position)

A long position (longing) refers to the situation where an investor buys a cryptocurrency or any other financial instrument to sell it later when the price goes high.

Mainnet Swap

Mainnet swap refers to the shift of a cryptocurrency project from one blockchain network to another (which in most cases is its own native blockchain network).

Maker Protocol (MakerDAO)

The Maker Protocol allows users to leverage their assets as collateral that are approved by the Maker governance in order to get rewarded with DAI.

Malware

Malware or malicious software refers to harmful programs utilized by bad actors to illegally access and/or compromise a computer, network or server.