diff --git a/src/app/api/stellar/liquidity/__tests__/route.test.ts b/src/app/api/stellar/liquidity/__tests__/route.test.ts
new file mode 100644
index 0000000..d3e8a7e
--- /dev/null
+++ b/src/app/api/stellar/liquidity/__tests__/route.test.ts
@@ -0,0 +1,110 @@
+import { describe, it, expect, vi, beforeEach } from "vitest";
+
+const { mockGetCurrentUser, mockGetLiquidityPool } = vi.hoisted(() => ({
+  mockGetCurrentUser: vi.fn(),
+  mockGetLiquidityPool: vi.fn(),
+}));
+
+vi.mock("@/lib/auth", () => ({
+  getCurrentUser: mockGetCurrentUser,
+}));
+
+vi.mock("@/lib/stellar", () => ({
+  getLiquidityPool: mockGetLiquidityPool,
+}));
+
+import { GET } from "../route";
+
+function makeRequest(query: string) {
+  return new Request(`http://localhost/api/stellar/liquidity${query}`) as never;
+}
+
+function fakeUser() {
+  return { id: "user-1", email: "user@example.com" };
+}
+
+beforeEach(() => {
+  mockGetCurrentUser.mockReset();
+  mockGetLiquidityPool.mockReset();
+  mockGetCurrentUser.mockResolvedValue(fakeUser());
+});
+
+describe("GET /api/stellar/liquidity", () => {
+  it("returns the pool with a private, short-TTL Cache-Control", async () => {
+    mockGetLiquidityPool.mockResolvedValue({
+      result: { pool: { id: "pool-1", reserves: [], totalShares: "1000" } },
+      cached: false,
+    });
+
+    const response = await GET(makeRequest("?asset=XLM"));
+    const body = await response.json();
+
+    expect(response.status).toBe(200);
+    expect(body.success).toBe(true);
+    expect(body.data.pool.id).toBe("pool-1");
+    expect(response.headers.get("Cache-Control")).toBe(
+      "private, max-age=60, stale-while-revalidate=120"
+    );
+  });
+
+  it("uses the same Cache-Control whether the lib layer served it from cache or not", async () => {
+    mockGetLiquidityPool.mockResolvedValue({
+      result: { pool: { id: "pool-1", reserves: [], totalShares: "1000" } },
+      cached: true,
+    });
+
+    const response = await GET(makeRequest("?asset=XLM"));
+
+    expect(response.headers.get("Cache-Control")).toBe(
+      "private, max-age=60, stale-while-revalidate=120"
+    );
+  });
+
+  it("still caches a { pool: null, reason } answer - that's a stable, real result", async () => {
+    mockGetLiquidityPool.mockResolvedValue({
+      result: { pool: null, reason: "No issuer configured for USDC" },
+      cached: false,
+    });
+
+    const response = await GET(makeRequest("?asset=USDC"));
+    const body = await response.json();
+
+    expect(response.status).toBe(200);
+    expect(body.data.pool).toBeNull();
+    expect(response.headers.get("Cache-Control")).toBe(
+      "private, max-age=60, stale-while-revalidate=120"
+    );
+  });
+
+  it("rejects an unauthenticated request with no-store, without calling getLiquidityPool", async () => {
+    mockGetCurrentUser.mockResolvedValue(null);
+
+    const response = await GET(makeRequest("?asset=XLM"));
+
+    expect(response.status).toBe(401);
+    expect(response.headers.get("Cache-Control")).toBe("no-store");
+    expect(mockGetLiquidityPool).not.toHaveBeenCalled();
+  });
+
+  it("rejects a missing 'asset' param with no-store, without calling getLiquidityPool", async () => {
+    const response = await GET(makeRequest(""));
+    const body = await response.json();
+
+    expect(response.status).toBe(400);
+    expect(body.success).toBe(false);
+    expect(response.headers.get("Cache-Control")).toBe("no-store");
+    expect(mockGetLiquidityPool).not.toHaveBeenCalled();
+  });
+
+  it("marks an unexpected getLiquidityPool failure as no-store", async () => {
+    mockGetLiquidityPool.mockRejectedValue(new Error("Horizon is down"));
+
+    const response = await GET(makeRequest("?asset=XLM"));
+    const body = await response.json();
+
+    expect(response.status).toBe(500);
+    expect(body.success).toBe(false);
+    expect(body.error).toBe("Horizon is down");
+    expect(response.headers.get("Cache-Control")).toBe("no-store");
+  });
+});
diff --git a/src/app/api/stellar/liquidity/route.ts b/src/app/api/stellar/liquidity/route.ts
index e83b2dc..4669942 100644
--- a/src/app/api/stellar/liquidity/route.ts
+++ b/src/app/api/stellar/liquidity/route.ts
@@ -1,54 +1,44 @@
 import { NextRequest } from "next/server";
-import { Asset } from "@stellar/stellar-sdk";
 import { getCurrentUser } from "@/lib/auth";
-import { server } from "@/lib/stellar";
+import { getLiquidityPool } from "@/lib/stellar";
 import { successResponse, errorResponse, unauthorizedResponse } from "@/lib/api-response";
 
+// getLiquidityPool() already caches per-asset for 60s (see
+// LIQUIDITY_CACHE_TTL_MS in src/lib/stellar.ts), so the browser/CDN layer
+// here matches that window. `private` (not `public`) - this route requires
+// a session, so a shared/CDN cache must never serve one user's response to
+// a different, unauthenticated request.
+const LIQUIDITY_CACHE_CONTROL = "private, max-age=60, stale-while-revalidate=120";
+
 /** Real Horizon liquidity pool reserves for a given asset code (top pool by
  * reserve size). Returns null data if the asset has no configured issuer or
  * no pool exists - never a fabricated figure. */
 export async function GET(request: NextRequest) {
   try {
     const user = await getCurrentUser();
-    if (!user) return unauthorizedResponse();
+    if (!user) {
+      const response = unauthorizedResponse();
+      response.headers.set("Cache-Control", "no-store");
+      return response;
+    }
 
     const { searchParams } = new URL(request.url);
     const assetCode = searchParams.get("asset");
-    if (!assetCode) return errorResponse("asset query parameter is required", 400);
-
-    const upper = assetCode.toUpperCase();
-    let asset: Asset;
-    if (upper === "XLM") {
-      asset = Asset.native();
-    } else {
-      const issuer = process.env[`STELLAR_${upper}_ISSUER`];
-      if (!issuer) {
-        return successResponse({ pool: null, reason: `No issuer configured for ${upper}` });
-      }
-      asset = new Asset(upper, issuer);
+    if (!assetCode) {
+      const response = errorResponse("asset query parameter is required", 400);
+      response.headers.set("Cache-Control", "no-store");
+      return response;
     }
 
-    const pools = await server
-      .liquidityPools()
-      .forAssets(asset)
-      .limit(1)
-      .order("desc")
-      .call();
-
-    const top = pools.records[0];
-    if (!top) {
-      return successResponse({ pool: null, reason: `No liquidity pool found for ${upper}` });
-    }
+    const { result } = await getLiquidityPool(assetCode);
 
-    return successResponse({
-      pool: {
-        id: top.id,
-        reserves: top.reserves.map((r) => ({ asset: r.asset, amount: r.amount })),
-        totalShares: top.total_shares,
-      },
-    });
+    const response = successResponse(result);
+    response.headers.set("Cache-Control", LIQUIDITY_CACHE_CONTROL);
+    return response;
   } catch (err: unknown) {
     console.error("Liquidity fetch error:", err);
-    return errorResponse(err instanceof Error ? err.message : "Failed to fetch liquidity", 500);
+    const response = errorResponse(err instanceof Error ? err.message : "Failed to fetch liquidity", 500);
+    response.headers.set("Cache-Control", "no-store");
+    return response;
   }
 }
diff --git a/src/lib/__tests__/stellar-liquidity-cache.test.ts b/src/lib/__tests__/stellar-liquidity-cache.test.ts
new file mode 100644
index 0000000..28c8f65
--- /dev/null
+++ b/src/lib/__tests__/stellar-liquidity-cache.test.ts
@@ -0,0 +1,125 @@
+import { describe, it, expect, vi, beforeEach } from "vitest";
+
+const { mockCall, mockLiquidityPools } = vi.hoisted(() => {
+  const mockCall = vi.fn();
+  const mockOrder = vi.fn(() => ({ call: mockCall }));
+  const mockLimit = vi.fn(() => ({ order: mockOrder }));
+  const mockForAssets = vi.fn(() => ({ limit: mockLimit }));
+  const mockLiquidityPools = vi.fn(() => ({ forAssets: mockForAssets }));
+  return { mockCall, mockLiquidityPools };
+});
+
+vi.mock("@stellar/stellar-sdk", async () => {
+  const actual = await vi.importActual<typeof import("@stellar/stellar-sdk")>("@stellar/stellar-sdk");
+  return {
+    ...actual,
+    Horizon: {
+      ...actual.Horizon,
+      Server: vi.fn().mockImplementation(() => ({
+        liquidityPools: mockLiquidityPools,
+      })),
+    },
+  };
+});
+
+function poolRecord(id: string, shares = "1000") {
+  return {
+    id,
+    reserves: [
+      { asset: "native", amount: "500.0000000" },
+      { asset: "USDC:GISSUER", amount: "480.0000000" },
+    ],
+    total_shares: shares,
+  };
+}
+
+// Each test imports a fresh copy of src/lib/stellar.ts (vi.resetModules() in
+// beforeEach) so the module-private liquidityCache Map starts empty every
+// time - without this, the cache from an earlier test would leak into the
+// next one and every "does this actually skip Horizon" assertion would be
+// meaningless (it'd pass for the wrong reason).
+async function freshGetLiquidityPool() {
+  const mod = await import("../stellar");
+  return mod.getLiquidityPool;
+}
+
+beforeEach(() => {
+  vi.clearAllMocks();
+  vi.resetModules();
+  delete process.env.STELLAR_USDC_ISSUER;
+  mockCall.mockResolvedValue({ records: [] });
+});
+
+describe("getLiquidityPool", () => {
+  it("fetches from Horizon and returns the top pool for a known asset (XLM)", async () => {
+    mockCall.mockResolvedValueOnce({ records: [poolRecord("pool-xlm")] });
+    const getLiquidityPool = await freshGetLiquidityPool();
+
+    const { result, cached } = await getLiquidityPool("xlm");
+
+    expect(cached).toBe(false);
+    expect(result.pool?.id).toBe("pool-xlm");
+    expect(result.pool?.totalShares).toBe("1000");
+    expect(mockCall).toHaveBeenCalledTimes(1);
+  });
+
+  it("serves a second lookup for the same asset from cache without calling Horizon again", async () => {
+    mockCall.mockResolvedValueOnce({ records: [poolRecord("pool-xlm")] });
+    const getLiquidityPool = await freshGetLiquidityPool();
+
+    const first = await getLiquidityPool("XLM");
+    const second = await getLiquidityPool("xlm"); // different case, same asset
+
+    expect(first.cached).toBe(false);
+    expect(second.cached).toBe(true);
+    expect(second.result.pool?.id).toBe("pool-xlm");
+    expect(mockCall).toHaveBeenCalledTimes(1);
+  });
+
+  it("caches independently per asset code", async () => {
+    mockCall
+      .mockResolvedValueOnce({ records: [poolRecord("pool-xlm")] })
+      .mockResolvedValueOnce({ records: [] });
+    process.env.STELLAR_USDC_ISSUER = "GAAZI4TCR3TY5OJHCTJC2A4QSY6CJWJH5IAJTGKIN2ER7LBNVKOCCWN7";
+    const getLiquidityPool = await freshGetLiquidityPool();
+
+    const xlm = await getLiquidityPool("XLM");
+    const usdc = await getLiquidityPool("USDC");
+
+    expect(xlm.result.pool?.id).toBe("pool-xlm");
+    expect(usdc.result.pool).toBeNull();
+    expect(usdc.result.reason).toMatch(/No liquidity pool found/);
+    expect(mockCall).toHaveBeenCalledTimes(2);
+  });
+
+  it("returns pool: null without ever calling Horizon when no issuer is configured", async () => {
+    const getLiquidityPool = await freshGetLiquidityPool();
+
+    const { result, cached } = await getLiquidityPool("NOTCONFIGURED");
+
+    expect(cached).toBe(false);
+    expect(result.pool).toBeNull();
+    expect(result.reason).toMatch(/No issuer configured/);
+    expect(mockLiquidityPools).not.toHaveBeenCalled();
+  });
+
+  it("also caches the 'no issuer configured' answer so it isn't re-derived every call", async () => {
+    const getLiquidityPool = await freshGetLiquidityPool();
+
+    await getLiquidityPool("NOTCONFIGURED");
+    const second = await getLiquidityPool("NOTCONFIGURED");
+
+    expect(second.cached).toBe(true);
+    expect(second.result.pool).toBeNull();
+  });
+
+  it("returns pool: null with a reason when Horizon has no pool for the asset", async () => {
+    mockCall.mockResolvedValueOnce({ records: [] });
+    const getLiquidityPool = await freshGetLiquidityPool();
+
+    const { result } = await getLiquidityPool("XLM");
+
+    expect(result.pool).toBeNull();
+    expect(result.reason).toMatch(/No liquidity pool found for XLM/);
+  });
+});
diff --git a/src/lib/stellar.ts b/src/lib/stellar.ts
index 0b3a67b..92ce65f 100644
--- a/src/lib/stellar.ts
+++ b/src/lib/stellar.ts
@@ -193,3 +193,81 @@ export async function submitTransaction(signedXdr: string): Promise<{
     };
   }
 }
+
+// ---------------------------------------------------------------------------
+// Liquidity pool lookups - short-TTL in-memory cache
+//
+// Pool reserves don't need per-request freshness, but every lookup used to
+// hit Horizon's liquidityPools API live. Same pattern as the rate cache in
+// src/lib/rates.ts: cache the resolved result per asset code for a short
+// window so repeated requests (e.g. a dashboard polling every few seconds)
+// don't each pay a real network round-trip to Horizon.
+// ---------------------------------------------------------------------------
+
+const LIQUIDITY_CACHE_TTL_MS = 60_000; // 1 minute
+
+export interface LiquidityPoolResult {
+  pool: {
+    id: string;
+    reserves: { asset: string; amount: string }[];
+    totalShares: string;
+  } | null;
+  reason?: string;
+}
+
+interface LiquidityCacheEntry {
+  result: LiquidityPoolResult;
+  fetchedAt: number;
+}
+
+/** In-memory liquidity cache: key = uppercased asset code. */
+const liquidityCache = new Map<string, LiquidityCacheEntry>();
+
+/**
+ * Look up the top liquidity pool for an asset code.
+ *
+ * Returns `{ pool: null, reason }` (never throws) for an asset with no
+ * configured issuer or no pool - same graceful behavior the route handler
+ * had inline before this cache existed. That "no pool" answer is itself
+ * cached too: it won't change until an issuer is configured or a pool is
+ * created, so there's no reason to re-ask Horizon for it every request.
+ */
+export async function getLiquidityPool(
+  assetCode: string
+): Promise<{ result: LiquidityPoolResult; cached: boolean }> {
+  const upper = assetCode.toUpperCase();
+
+  const cached = liquidityCache.get(upper);
+  if (cached && Date.now() - cached.fetchedAt < LIQUIDITY_CACHE_TTL_MS) {
+    return { result: cached.result, cached: true };
+  }
+
+  let asset: Asset;
+  if (upper === "XLM") {
+    asset = Asset.native();
+  } else {
+    const issuer = process.env[`STELLAR_${upper}_ISSUER`];
+    if (!issuer) {
+      const result: LiquidityPoolResult = { pool: null, reason: `No issuer configured for ${upper}` };
+      liquidityCache.set(upper, { result, fetchedAt: Date.now() });
+      return { result, cached: false };
+    }
+    asset = new Asset(upper, issuer);
+  }
+
+  const pools = await server.liquidityPools().forAssets(asset).limit(1).order("desc").call();
+  const top = pools.records[0];
+
+  const result: LiquidityPoolResult = top
+    ? {
+        pool: {
+          id: top.id,
+          reserves: top.reserves.map((r) => ({ asset: r.asset, amount: r.amount })),
+          totalShares: top.total_shares,
+        },
+      }
+    : { pool: null, reason: `No liquidity pool found for ${upper}` };
+
+  liquidityCache.set(upper, { result, fetchedAt: Date.now() });
+  return { result, cached: false };
+}