Balancer is an automated market maker (AMM) that allows users to create or add liquidity to customisable pools and earn trading fees. Unlike traditional AMMs, Balancer supports multiple tokens in configurable ratios, providing more flexibility and allowing liquidity providers to create pools that can automatically rebalance to maintain their value relative to each other. This functionality not only improves liquidity provision but also offers sophisticated portfolio management strategies within the DeFi ecosystem. The platform’s native token, BAL, is used for governance and rewards within the Balancer ecosystem.