Definations

• Bin: A discrete price range where liquidity can be deposited. Each bin represents a specific price point with a defined width.

• Bin Step: The percentage difference between consecutive bins (e.g., 1 basis point = 0.01%).

• Active Bin: The bin containing the current market price where swaps are occurring.

• Liquidity Provider (LP): User who deposits tokens into one or more bins.

• Position: Collection of LP tokens across multiple bins belonging to a single user.

• Composition Fees: Trading fees distributed based on bin activity and liquidity.

• Volatility Accumulator: Metric tracking market volatility to adjust dynamic fees.