Binance founder Changpeng Zhao (CZ) on Tuesday urged users to exercise caution when using decentralized exchanges (DEXs) or engaging in cryptocurrency activities following an announcement by Balancer, an automated market maker (AMM).
CZ made it clear to “Exercise caution when using DEX, or crypto in general. Stay #SAFU. 🙏”
Whereas, Balancer alerted its followers that the frontend of its platform was under attack on 19th September and asked it’s users to refrain from interacting with the UI until the issue was resolved.
AMM stands for Automated Market Maker. It is a decentralized exchange mechanism that uses algorithms to provide liquidity for traders in the buying and selling of cryptocurrency assets. Unlike traditional exchanges that rely on order books, AMMs utilize liquidity pools and mathematical formulas to determine token prices and facilitate trades.
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