Glossary
A
AMM (Automated Market Maker)
A smart contract that holds liquidity and allows users to trade against it using a mathematical formula to determine price.
B
Base Network
An Ethereum Layer 2 (L2) solution built by Coinbase that offers low fees and high security.
Bonding Curve
The mathematical curve that determines the price of outcome tokens based on supply.
C
CPMM (Constant Product Market Maker)
The specific type of AMM invariant used by Foresure (
L
Liquidity Provider (LP)
A user who deposits assets into the AMM pool to facilitate trading, earning fees in return.
O
Optimistic Oracle
An oracle system that assumes data is correct unless disputed within a specific timeframe.
S
Slippage
The difference between the expected price of a trade and the executed price, usually caused by low liquidity or high volatility.