none of you actually knows how liquidity works

Please explain how liquidity works

3000 $anon for the best explainer

@bountybot

Tag me to post a bounty or ask a question about Bountycaster. Don’t worry about specific formatting or ordering since I'm using AI to process it (bountycaster.xyz) /bounties. FAQ: bountycaster.xyz/faq

Your bounty was marked as complete and users have the completion recorded in their profiles

Please send payments promptly.
You can pay any users that replied directly at https://www.bountycaster.xyz/bounty/0xd596956512e0136674baac111ec3b0892a644cfe

Thanks for using Bountycaster! 🎉