# Automated Market Maker Traditionally, exchange on a centralized wallet means that a user and a buyer must be matched with a price that is agreed upon by both. This comes with a slew of issues for both parties. For the buyer it means that to acquire more assets they must list a purchase price for them, and only receive what they purchased once a seller has been found. This means that while some transactions can happen quickly, there is no guarantee how long it might take. In addition, this leaves opens the possibility that a listed transaction may not even occur. When building Squirrel wallet it was clear that this solution was not good enough. The Squirrel Wallet has a built-in automated market maker or (AMM) for short. This is an verifiable algorithm that automates price changes based on the market demand. Operating 24/7 there is no down time, and no delay for users interacting with their tokens. This is what builds the foundation of the "decentralized" part of the Squirrel Wallet. The fully decentralized nature means that Squirrel wallet users are able to: * Purchase tokens without needing to wait for sellers * Provide Liquidity with unused tokens to generate additional rewards in the form of LP tokens * Stake their tokens to earn NUTS * Stake or redeem their earned Liquidity Tokens All of this can be found easily in the Squirrel navigation bar ![](https://693791841-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F-MhnleJ_usghAUyOavjV%2Fuploads%2FrXXOKjqznMdEhqymXZNi%2Fimage.png?alt=media\&token=30458f3a-3cfb-41dd-8a5f-c10edd25f31a) --- # 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://squirrel-wallet.gitbook.io/squirrel/products/squirrel-wallet/automated-market-maker.md?ask= ``` 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.