---
title: "How Automated Market Makers (AMMs) Work (PDF)"
url: "https://bip39-phrase.com/list-phrase/how-automated-market-makers-amms-work-2026-06-13/"
language: "en"
updated: "2026-06-13T00:00:00+00:00"
---

# How Automated Market Makers (AMMs) Work

Automated Market Makers (AMMs) enable decentralized crypto trading by using liquidity pools and smart contracts to set token prices and facilitate swaps without traditional order books or intermediaries.

PDF document · Published June 13, 2026 

[ Open the PDF (3 pages, 13 KB) ](/list-phrase/how-automated-market-makers-amms-work-2026-06-13-en.pdf) 

Keywords: 

automated market makers · liquidity pools · decentralized finance · smart contracts

Topic: 

[Crypto Markets, Trading and Regulation](/topics/markets/)

## Guides on the same subject

- [What Is an Atomic Swap? How Cross-Chain HTLC Swaps Work](/atomic-swap/)  
An atomic swap trades coins on two blockchains directly between wallets: hash-locked, time-limited contracts make both transfers happen or neither.
- [Smart Contract EVM: What It Is and How It Works](/smart-contract-evm-what-it-is-and-how-it-works/)  
The EVM is the sandboxed runtime every Ethereum node uses to run smart contracts: bytecode, gas, a Solidity example, real uses and the bugs that drain them.
- [What Makes Bitcoin's Price Go Up? Supply, Demand and Macro](/bitcoins-price-go-up/)  
Bitcoin's price rises when demand outgrows a supply capped at 21 million: halvings, ETF and institutional buying, interest rates, liquidity and sentiment.

One of the documents in the [Seed Phrase PDF Archive](/list-phrase/), listed on [archive page 11](/list-phrase/11/).