> ## Documentation Index
> Fetch the complete documentation index at: https://docs.fx.meme/llms.txt
> Use this file to discover all available pages before exploring further.

# FX glossary

> The terms used across FX markets, launches, trading, and integrations.

Start with the terms you need. Each definition links to the part of FX where it matters.

## Markets and prices

| Term                | Meaning                                                                                     |
| ------------------- | ------------------------------------------------------------------------------------------- |
| Currency pair       | A relationship expressing one currency in terms of another, such as EUR/USD                 |
| Quote currency      | The currency used to express a token's price, such as EURC in TOKEN/EURC                    |
| Currency token      | A specific onchain asset representing a currency; its contract identity matters             |
| FX triangle         | Two pools for the same launched token connected by an underlying currency pool              |
| Canonical pool      | A token market identified by the FX factory for that launch                                 |
| Spot price          | The pool's price at a particular state, before pricing a specific order size                |
| Implied cross price | A price calculated by multiplying exchange rates along a route                              |
| Arbitrage           | Trading across differing market prices; fees, price impact, and execution affect the result |
| Liquidity           | Assets positioned in a market to support exchange                                           |
| Active liquidity    | Liquidity contributing at the current price within its configured ranges                    |
| FDV                 | Fully diluted valuation: a selected token price multiplied by total supply                  |

Read [currency pairs](/markets/currency-pairs), [liquidity and price](/markets/liquidity-and-price), and [market metrics](/markets/reading-the-market).

## Trading

| Term               | Meaning                                                                       |
| ------------------ | ----------------------------------------------------------------------------- |
| Route              | The ordered sequence of pools used to exchange the input asset for the output |
| Hop or leg         | One pool exchange within a route                                              |
| Exact input        | An order that fixes the amount spent and protects a minimum received          |
| Exact output       | An order that fixes the amount received and caps the amount spent             |
| Price impact       | The change in execution price caused by the trade itself                      |
| Slippage tolerance | The allowed change between the quoted result and settlement                   |
| Deadline           | The latest chain timestamp at which the order may execute                     |
| Allowance          | An ERC-20 spending permission granted to a contract                           |
| Gas                | The network cost of executing a transaction; Arc uses USDC for gas            |
| Receipt            | The onchain result of a submitted transaction, including whether it succeeded |

See [read a quote](/guides/read-a-quote) and [transaction troubleshooting](/guides/troubleshooting).

## Fees and allocations

| Term                      | Meaning                                                                                    |
| ------------------------- | ------------------------------------------------------------------------------------------ |
| Basis point, or bp        | One hundredth of a percentage point: 1 bp = 0.01%; 100 bp = 1%                             |
| Native LP fee             | The pool fee earned by liquidity providers                                                 |
| Hook fee                  | A deduction implemented by FX's hook for a registered token market                         |
| Opening surcharge         | A temporary buy deduction following launch activation                                      |
| Builder allocation        | Token supply reserved under the launch's vesting schedule                                  |
| Cliff                     | The initial period during which no vested allocation can be released                       |
| Holder reward             | A backed fee entitlement in an eligible single-currency launch                             |
| Eligible realized revenue | Protocol receipts actually recognized in USDC for the revenue split                        |
| Buyback reserve           | USDC reserved for eligible purchases of the registered official FX token                   |
| Dead-address delivery     | Transfer of acquired FX to the configured dead address; ERC-20 totalSupply stays unchanged |

See [fees](/economics/fees), [launch settings](/guides/launch), and [\$FX revenue](/economics/fx-token).

## Building with FX

| Term                | Meaning                                                                         |
| ------------------- | ------------------------------------------------------------------------------- |
| PoolManager         | The Uniswap v4 contract that holds pool state and executes pool operations      |
| PoolKey             | The currencies, fee, tick spacing, and hook identifying a v4 pool               |
| Raw units           | Integer asset amounts before applying the token's decimal precision             |
| Snapshot            | A market-data view tied to a particular block number and block hash             |
| Reorg               | A change to the canonical chain history that can invalidate an earlier snapshot |
| Deployment identity | The verified network, contracts, component bindings, and release configuration  |
| Settlement          | The actual movement of assets that resolves a route's balances                  |

Continue to [Build with FX](/developers/overview) for implementation interfaces and integration requirements.