Liquidity Pool
A liquidity pool is a reserve of assets committed to a protocol or venue for trading, lending, settlement, or redemption activity. For…
Glossary terms starting with L
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Liquidity Provider (LP)
A liquidity provider supplies assets or executable quotes that enable others to trade, borrow, redeem, or settle transactions more reliably. For reliable…
Liquidity Rebalancing
Liquidity Rebalancing is the movement or conversion of funds among accounts, venues, currencies, assets, wallets, networks, or liquidity pools to restore target…
Liquidity Reserve
Liquidity Reserve is a designated pool of cash, stablecoins, or other liquid resources maintained to meet expected obligations or provide resilience during…
Liquidity Risk
Liquidity risk is the possibility that assets cannot be sold, converted, withdrawn, or obtained quickly enough without unacceptable loss or disruption. Decision-makers…
Liquidity Routing
Liquidity Routing is the selection and sequencing of liquidity sources or venues used to execute a trade, conversion, payment, withdrawal, or funding…
Liquidity Shortfall
Liquidity Shortfall is a situation in which available liquidity is insufficient to meet an obligation, target, buffer, or stressed requirement in the…
Liquidity Source
Liquidity Source is a specific provider, account, venue, asset pool, credit facility, market, or mechanism from which usable liquidity can be obtained.…
Liquidity Sourcing
Liquidity Sourcing is the process of identifying, obtaining, maintaining, and activating liquidity from internal or external sources to support trading, payments, settlement,…
Liquidity Stress Test
Liquidity Stress Test is a forward-looking analysis of whether an organization can meet obligations under severe but plausible liquidity shocks and operational…
Liquidity-Saving Mechanism (LSM)
A liquidity-saving mechanism is a set of rules or algorithms in a payment system that reduces the amount of settlement liquidity participants…
Litecoin (LTC)
Litecoin is the native digital asset of the Litecoin network, a public proof-of-work blockchain designed for peer-to-peer payments using a UTXO transaction…
Litecoin Network
Litecoin is a public Scrypt proof-of-work UTXO blockchain for LTC transfers, with its own addresses, fees, mining, and confirmation history. LTC is…
Live Mode
Live Mode is the production operating state in which API requests, transactions, callbacks, and account changes affect real users, real assets, or…
Live Payment
A live payment is a real production payment involving actual customer or business value, as opposed to a sandbox, test, simulation, or…
Liveness Risk
Liveness risk is the possibility that a system stops making required progress even though its safety properties may remain intact. A score…
Local Currency
Local Currency is the currency commonly used for pricing, payment, accounting, or settlement in a particular market. In cross-border pricing and payment…
Localized Checkout
Localized Checkout is a checkout adapted to the language, conventions, payment expectations, and market rules of a customer’s locale. In merchant checkout…
Lock-and-Mint Token Pool
A lock-and-mint token pool is a cross-chain mechanism that locks an asset on a source chain and mints a corresponding token representation…
Lock-and-Release Token Pool
A lock-and-release token pool moves value between chains by locking tokens in a source pool and releasing previously deposited liquidity from a…
Locked Token Supply
Locked token supply is the amount of issued tokens that cannot be freely transferred or sold until specified conditions are met. Tokens…
Long-Range Attack
A long-range attack creates an alternative blockchain history beginning far in the past to deceive nodes that lack a trusted recent reference.…
Longest Chain
The longest chain is the blockchain branch with the greatest length under a simplified fork-choice description. In proof-of-work systems, the precise rule…
Low-Latency Oracle
A low-latency oracle delivers external data to blockchain applications with minimal delay, typically for markets where prices change rapidly. Faster updates can…