# Liquidity Pools

## V2 Concentrated Liquidity Pools <a href="#v2-concentrated-liquidity-pools" id="v2-concentrated-liquidity-pools"></a>

**Fibonacci's New Feature: Concentrated Liquidity**

* Introducing Concentrated Liquidity, a new feature on Fibonacci powered by Algebra Finance. It allows users to select specific price ranges to supply their liquidity.&#x20;
* Users earn a share of swap fees if the asset's price stays within the chosen range. However, if the price moves outside the range, they won't earn fees.

**Algebra Finance's Advanced Features**

* **Algebra Integral** Concentrated Liquidity offers advanced features not seen in Uniswap V3. These include limit orders, dynamic fees, farms and other plug-ins. This feature allows users to focus their liquidity on certain price ranges, boosting their potential earnings from transaction fees.

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RISK:

While concentrated liquidity may offer the potential for higher APRs, Fibonacci strongly advises users to thoroughly comprehend the associated risks before engaging in providing liquidity.
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Find out more about the mechanisms behind concentrated liquidity please visit [Algebra Documentation](https://docs.algebra.finance/algebra-integral-documentation/overview-faq/what-is-algebra)
