> For the complete documentation index, see [llms.txt](https://docs.mux.network/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.mux.network/protocol/overview/mux-degen-protocol.md).

# MUX V1 Degen Protocol

MUX Degen Protocol is a decentralized perpetual trading protocol tailored to enhance the long-tail assets trading experience.

The protocol uses dynamic price impact to adjust trading prices based on the position size; the deployed mechanism will mitigate price manipulation risks and ensure a fairer and more stable trading experience for all participants.

The MUX Degen Protocol has its own liquidity pool: the DegenLP pool. Traders will trade against the DegenLP pool on the MUX Degen Protocol. Due to the high-risk exposure, the DegenLP pool will only be open to whitelisted sophisticated traders and LPs to supply liquidity.