# Sera Glossary

Plain-English definitions for every term in Sera's documentation and marketing.

## AMM (Automated Market Maker)
A type of decentralised exchange that uses a mathematical formula — typically x·y=k — to price assets. Traditional AMMs suffer impermanent loss and require capital in both sides of a pair. Sera's virtual liquidity layer gives LPs AMM-like reach without the capital inefficiency.

## CLOB (Central Limit Order Book)
An order-matching mechanism where buyers and sellers post bids and offers at specific prices. Sera's hybrid model lets issuers run their own CLOB-style book while routing excess demand through the protocol's other liquidity tiers.

## Corridor
A directed currency-pair route on Sera — for example USDC → BRLA or XSGD → IDRX. LPs quote bid/ask on one or more corridors and earn the FX spread on every swap. Sera covers 30,000+ corridors.

## EIP-712
An Ethereum standard for typed, structured data signing. Sera uses EIP-712 intent signatures so users can authorise settlement off-chain. The protocol submits and pays gas on the user's behalf, producing a gasless experience.

## FCIC AMM
Sera's passive vault tier for stablecoin issuers. Issuers deposit TVL and the AMM handles routing, market-making, and yield generation automatically. Yield is split 50/50 between the issuer and Sera Protocol.

## FX Reference Rate
The benchmark exchange rate used to price a currency pair. Sera aggregates live mid-market rates from 50+ banks, 10+ PSPs, and 10+ FX houses.

## FX Spread
The difference between the bid and ask price in a currency exchange. On Sera, LPs earn the spread as yield on every swap.

## Impermanent Loss
The temporary loss AMM LPs suffer when the relative price of deposited assets changes. Sera's LP model eliminates impermanent loss: LPs set their own rates.

## Intent (EIP-712 Intent)
A signed message expressing what a user wants — for example "swap 1,000 XSGD for IDRX at the best available rate" — without specifying how the network executes it. Sera's engine finds the optimal path and submits the transaction.

## JIT Liquidity
Just-in-Time liquidity: capital injected into a pool for a single block to capture the spread on a specific swap, then withdrawn immediately.

## LP (Liquidity Provider)
A participant who deposits stablecoin capital into Sera and quotes bid/ask spreads across one or more corridors. LPs earn the FX spread on every swap with no lock-up and no impermanent loss.

## MCP (Model Context Protocol)
An open protocol by Anthropic that lets AI agents call structured tools on remote servers. Sera exposes an MCP endpoint at agents.sera.cx/mcp with tools for fx_quote, fx_settle, corridors, and rates.

## MEV (Maximal Extractable Value)
Profit extracted by reordering or inserting transactions within a block. Sera's intent-based execution is MEV-resistant: settlement path details are hidden until after the trade.

## Non-custodial
A design where the protocol never takes possession of user funds. Stablecoins stay in the user's wallet at all times.

## On-chain Settlement
Final transfer of assets recorded on a blockchain. Sera settles every swap on-chain in a single atomic transaction: the entire trade completes or reverts — no partial fills.

## Smart Order Routing (SOR)
Sera's algorithm that splits a settlement into optimal sub-legs, discovers the cheapest path across all live liquidity pools, and executes atomically in one on-chain transaction.

## Stablecoin
A cryptographic token pegged to an external reference — typically a fiat currency. Sera supports 600+ stablecoins denominated in 120+ currencies.

## Treasury Rebalancing
Adjusting the currency mix in a corporate or protocol treasury. Sera's MCP tools support autonomous treasury rebalancing by AI agents without human intervention per transaction.

## Virtual Liquidity
Sera's LP model where a single capital deposit earns spreads across 30,000+ corridors without the LP deploying separate capital into each pair. Capital efficiency is over 100× vs traditional AMMs.