“Forced Liquidations, Hidden Contracts, and Backchannel Deals Are Prompting A Retech in How Liquidity Is Structure – and Who Gets Trusted.”, – WRITE: www.coindesk.com
In Both Cases, Rapid Price Crashes Revealed Hidden Actors, Questionable Token UnLOKS, AND ALLEGED Side Agreements that Blinded Market Participants, WitH OM FALLING MORTING MORILING MORILING More. Catalyst.
Unlike Traditional Finance, WHERE Market Makers Provide Orderly Bid -Ask Spreads on Regulated Venues, Crypto Market Makers ofTen Operate More Like-Stake Trading Desks.
They’re not just quoting prices; They’re negotating pre-launch token allocations, accepting Lockups, Structuring Liquidity for Centralized Exchanges, and SomeTimes Taking Equity or Advisory Stakes.
The Result is a Murky Space WHERE LIQUITY PROVISION IS ENTAANGLLLLL PRIVATE DEALS, TOKENOMICS, AND OFFEN, INSIDER Politics.
A coindesk exposé in Late April Showed How was Movement Labs Executives collluded with their Own Market Maker to Dump $ 38 Million Worth of Move in The Open Market.
Now, Some Firms Are Questioning Whther they’ve Been Too Casual in Trusting Counterparties. How do you Hedge A Position WHEN TOKEN UNLOCK SCHEDULES Are Opaque? What happles wheau handshake deals quetly override dao proposals?
“Our Approach Now Includes More Extensive Preliminary Discussions and Education Sessions with Project Teams to Ensure they Thoroughly Understand Market-Met-Making Mechanics Division Told Coindesk in An InterView.
“OUR DEAL STRUCTURES HAVE EVOLVED TO EMPHASIZIZE Long-Teng-Trategic Alignment Over Short-Term Performance Metrics, Incorporating Specialist Dotti and Artificial Trading Volume, “IT SAID.
Behind the Scenes, Conversations Are Intensifying. Deal Terms Are Being Scrutinized More Carefully. Some Liquidity Desks Are Reevaluating Howa Underwrite Token Risk.
Other are Demanding Stricter Transparency – or Walking Away from Murky Projects Altogether.
“Projects No Longer Accept Prestigious Reputations at Face Value, Having Witnessed How Even Even Even Established Players Can Exploit Sadow Allocations or Engage In Detrical, GABEADLING PRACTICS EcoSystem Max Sun Noted. “The Era of Presumptive Trust Has Concluded,“ He Claiimed.
Beneath the polished surface of token launch AnnounCements and market-Making agroments of Lies Another Layer of Crypto Finance-The Secondary Otc Market Cliffs Hit The Public Eye.
These Under-the-Table Deals, Often Struck Between Early Backers, Funds, and Syndicates, Are Now Distorting Supple Dynamics and Skewing Price Discovery, Some Traders Say. And for Market Makers Tasked with Providing Orderly Liquidity, They’re Become by An IncreASINGLY OPAQUE AND DANGORUS VARIABLE.
“The Secondary Otc Market Has Changed the Dynamics of the Industry,” SAID MIN JUNG, Analyst at Presto Research, Which Runs A Market-Making Unit. “If You Look at Tokens with Suspicious Price Action – Like $ Layer, $ OM, $ Move, and others – they’re of the Onthen the Ones MOST ACTIVELY Traded On the Secondary Otc Market.”
“The ENTIRE SUPPLY AND VESTING SCHEDULE HAS BECOME DISTORTED BECAUSE OF TESE OFF-Market Deals, and for Liquid Funds, The Real Challenge is Figing Out while”
In a market WHERE PRICE IS FICTION AND SUPPLY IS NEGOTATIED IN BACK ROOMS, The Real Risk Isn’s for Traders – It Is Believing the Float Is Whata.
Read More: Movement Labs Secretly Promised Advisers Millions in Tokens, Leaked Documents Show
Shaurya Holds Over $ 1,000 in Btc, Eth, Sol, Avax, Sushi, Crv, Near, YFI, YFI, SHIB, DOGE, USDT, USDC, BNB, MANA, MLN, LINK, XMR, ALGO, CAKE, Vet, Vet, Vet RUNE, FTM, ZIL, KSM, ENJ, CKB, JOE, GHST, PERP, BTRFLY, OHM, Banana, Rome, Burger, Spirit, and ORCA.
He Provides Over $ 1,000 to Liquidity Pools on Compound, Curve, Sushiswap, Pancakeswap, Burgerswap, Orca, AnaSwap, Spiritswap, Roki Protocol, Yearn Finance Olympusdao, Rome, Trader Joe, and Sun.
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