Market Makers: The New Architects of Crypto Liquidity
Market makers are no longer just the liquidity providers of yore; they’ve stepped into the spotlight as key players shaping the market landscape in crypto. It’s not merely about executing trades anymore; it’s about navigating risks and stabilizing a fragmented environment. Today, let’s dig into how these entities are distributing liquidity, their roles in trading, and the implications of this shift for decentralized finance.
The Role of Market Makers
Traditionally, market makers were perceived as mere liquidity providers, quoting both buy and sell prices. But let’s be honest, the narrative has changed. Now, they are the backbone of market infrastructure, managing inventory risk, routing liquidity across various trading platforms, and…
