———-

Every liquidity pool order that completes is technically a **peer-to-peer (P2P) transaction**. Unlike traditional centralized exchanges, where users interact with an order book controlled by a third party, Fractal’s **decentralized liquidity pools** ensure that every transaction is settled between participants.

#### **Key Points:**
– **All transactions in the public ledger are peer-to-peer transactions.**
– **Every transaction is defined and governed by a Ring Contract.**
– **Liquidity pool settlements follow a dedicated Ring Contract** that ensures seamless execution, distinct from the simpler “Simple Send” contract used for direct transfers.

##### **Reference Links:**
– [Fractal Public Ledger](https://test.cryptocase.org/ledger)
– [Understanding Ring Contracts](#ring-contracts-overview)
– [Liquidity Pool Settlement in Fractal](#liquidity-pool-settlement)