Harry 
title
let's break it down a bit further a key part of amm is the liquidity pool imagine a pool filled with two types of tokens let's say ethereum and usdc for example if one ethereum is worth 2,000 usdc the liquidity provider has to deposit both tokens in that exact ratio in return they receive special tokens called LP tokens which represent their share of the pool these LP tokens Can later be redeemed along with rewards like transaction fees.
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