What is a Liquidity Pool?
A liquidity pool is a collection of two tokens locked in a smart contract that enables decentralized trading. Instead of a traditional order book, traders swap against the pool.
How It Works
When you create a liquidity pool, you deposit equal values of two tokens (e.g., your memecoin + SOL). This allows anyone to swap between them.
Why Create a Pool?
- Enable Trading — Without a pool, nobody can buy or sell your token
- Price Discovery — The market determines your token's value
- Earn Fees — Pool creators earn trading fees
- Your token's mint address
- Some of your tokens for initial liquidity
- SOL for the quote side
Creating a Pool on RoyLaunch
Visit the Liquidity page to create a Raydium pool for your token. You'll need: