Definition ∞ Multi-Asset Pathing describes the process of routing a transaction through a sequence of different digital assets to achieve a desired exchange. Instead of a direct swap, a trade might convert Asset A to Asset B, then Asset B to Asset C, to find the most efficient or cost-effective route. This is common in decentralized exchanges and liquidity aggregators.
Context ∞ Multi-asset pathing is a vital feature for optimizing trades within decentralized finance, particularly in environments with fragmented liquidity. News often highlights improvements in routing algorithms that minimize slippage and transaction costs for users. The capacity to execute complex trades across various liquidity pools enhances market efficiency and accessibility.