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DeFi

What's the difference between an AMM DEX and an order-book DEX?

Direct answer

An AMM DEX prices trades algorithmically against liquidity pools (simpler, great for long-tail tokens). An order-book DEX matches discrete buy/sell orders like a CEX (better for tight spreads and pro traders) but is more complex and often needs off-chain components for performance.

Details

. An order-book DEX matches discrete buy/sell orders like a CEX (better for tight spreads and pro traders) but is more complex and often needs off-chain components for performance.

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