Mercenary liquidity is a term used in the cryptocurrency and financial markets to describe capital that is highly mobile and can be quickly shifted from one trading venue to another to capture arbitrage opportunities or yield differentials. This concept has gained prominence in decentralized finance (DeFi), where liquidity providers can seamlessly move their assets across various platforms, optimizing returns based on real-time market conditions. The term highlights the temporary nature of such , as it is often not committed to a single platform for long periods.