# DEX / Exchange

Blue Horizon is an Automated Market Maker (AMM), and the Exchange is at the heart of our platform. Blue Horizon is striving towards becoming a leading AMM on the Binance Smart Chain.

The Blue Horizon offers several features that support decentralized trading:

### Swapping/Trading

Blue Horizon DEX lets users trade without the need to go through a centralized exchange. Everything you do on Blue Horizon is routed directly through your own wallet — **no need to trust someone else with your coins!**

### Liquidity Pools

You can only swap tokens on Blue Horizon if there is enough liquidity for those tokens. If nobody has added sufficient liquidity for these tokens you want to swap, it will be difficult and expensive, or impossible to do so.

Providing liquidity will get you LP Tokens, which will earn you rewards in the form of trading fees for making sure there's always liquidity for the exchange to use.

### Yield Farming

Yield farming lets users that are providing liquidity earn BLH rewards by locking their LP tokens into a smart contract. The incentive is to balance out the risk of [impermanent loss](https://academy.binance.com/en/articles/impermanent-loss-explained) that comes along with locking in your liquidity.
