# Concentrated

### Introduction

MetaDEX is powered by cutting-edge technology that enables more efficient use of liquidity, maximizing returns for liquidity providers and ensuring better trading experiences for users. By leveraging Concentrated Liquidity Automated Market Maker (CLAMM), MetaDEX revolutionizes the way liquidity pools operate.

### What is CLAMM?

CLAMM (Concentrated Liquidity Automated Market Maker) allows liquidity providers (LPs) to allocate their funds within specific price ranges rather than spreading them across the entire price spectrum. This targeted approach focuses liquidity where trades are most likely to occur, improving price stability, reducing slippage, and increasing capital efficiency compared to traditional liquidity pools.

***

### How to Create a Concentrated Liquidity Pool

Follow these steps to create a new concentrated liquidity pool on AYIN DEX:

#### 1. Access the AYIN DEX

• Navigate to the AYIN DEX platform and go to the “Pools” section.

#### 2. Click “Create Pool”

• Select the “Create Pool” button.

#### 3. Connect Your Wallet

• Link your Alephium wallet to the platform by following the prompts.

#### 4. Select Token Pair

• Choose the two tokens you want to create a pool for (e.g., ALPH/AYIN).

#### 5. Select Fee Tier

• Pick a fee tier based on the expected trade volume and volatility:

• 0.01%: Ideal for stable, low-volatility pairs.

• 0.05%: Suited for moderately active pairs.

• 0.3%: The standard tier for most trading pairs.

• 1%: Best for highly volatile or low-liquidity pairs.

#### 6. Provide Initial Price

• Set the initial price for the token pair to establish the pool’s starting rate.

#### 7. Done!

• You’ve successfully created a concentrated liquidity pool. The pool is now ready to receive liquidity from you and other providers.


---

# Agent Instructions: Querying This Documentation

If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question.

Perform an HTTP GET request on the current page URL with the `ask` query parameter:

```
GET https://docs.ayin.app/ayin/ayin-metadex/concentrated.md?ask=<question>
```

The question should be specific, self-contained, and written in natural language.
The response will contain a direct answer to the question and relevant excerpts and sources from the documentation.

Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.
