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by chrisco255 903 days ago
Decentralized exchanges do not typically run on an order book model. Instead liquidity providers allocate capital in specific price ranges that follow a determininistic price curve ratio and a simple formula is used to rebalance as traders swap between token pairs.

See:

https://medium.com/coinmonks/uniswap-v3-explained-57e0cdf867...

1 comments

To add to this, there are order book exchanges though, such as Matcha.xyz