Industry WIKI

Constant-function market makers (CFMM) are a paradigm in the design of trading venues where a trading function and a set of rules determine how liquidity takers (LTs) and liquidity providers (LPs) interact, and how markets are cleared. The trading function is deterministic and known to all market participants.

Internal rate of return (IRR) is a method of calculating an investment's rate of return. The term internal refers to the fact that the calculation excludes external factors, such as the risk-free rate, inflation, the cost of capital, or financial risk.