> For the complete documentation index, see [llms.txt](https://docs.libertyswap.finance/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.libertyswap.finance/liberty-pool/overview/liquidity-model.md).

# Liquidity Model

Liberty Pool supports concentrated liquidity positions similar to the Uniswap V3 model.

Liquidity providers specify:

* lower price bound
* upper price bound
* deposited asset quantities

Liquidity remains active only while the market price trades within the selected range.

If the market moves outside the selected range:

* the position becomes inactive
* fee generation pauses
* assets may become fully converted into one side of the trading pair

Liquidity providers may rebalance or reposition liquidity ranges at any time.