Topic: How do I become a crypto market maker? (Read 201 times)
honestly not as easy as what you imagine, if your intention is to create your own exchange do you not think who wants to put the money into the market you have, if there is no trust that can be highlighted, don't expect your wishes to come true.
This is not how it should work. Even my friend once asked me whats the process of creating a cryptocurrency when I asked the reason he was just saying that he will list it on some exchange and speculate. I then made him understand that this is not how it works.
In order to list a coin on an exchange not only you must create a cryptocurrency first but also have to work towards the vision of creating something that will solve the user's problem which will make him want to buy your coin. Only if a project has a good vision and is solving something or if the concept of the project is unique then people will invest in your cryptocurrency.
So even if you create your own coin you will still have to find some problem and create a solution for it backing by the coin you create.
In order to list a coin on an exchange not only you must create a cryptocurrency first but also have to work towards the vision of creating something that will solve the user's problem which will make him want to buy your coin. Only if a project has a good vision and is solving something or if the concept of the project is unique then people will invest in your cryptocurrency.
So even if you create your own coin you will still have to find some problem and create a solution for it backing by the coin you create.
I’ve seen several posts on here discussing crypto market makers. The whole crypto market making process seems rather simple and straightforward. My question is, say I’m a new token looking to list on an exchange, rather than hire a crypto market maker, why not have my team write a basic algorithm and be my own crypto market marker?
I would assume that market maker would probably be someone who has worked with a market maker before at the very least, I am not saying it is impossible for someone to actually be a market maker without any type of experience before, they can definitely do that but how good could they really be?I would assume not really all that well, so at the end of the day I would say working with someone who has done this before and learning from them would be a great start. Be careful though, not every market maker is a good one, they could be a scam one as well, so if you pick someone to teach you and they teach you the scam ways you may not even realize it, which will lead you to be an unwarranted scammer as well. So if you are going to learn from someone, find a good person who is good at it.
The crypto market maker has to have an expert level understanding of how financial markets operate, of the crypto space, and has to be able to create algorithms that can meet those conditions. I’m not an expert on this subject but I’ve seen a few posts on here discussing the top crypto market makers and how they operate. In most cases, it's a team of people from various technical and financial disciplines working together to create a comprehensive algorithm that can meet the many scenarios it is required to meet to function efficiently.
So who are the best ones then?
Read the article Jating posted and this one
https://defirev.com/top-crypto-market-makers-2020/
On paper that could easily work since most crypto coins are just iterations of other crypto coins with a few changes in features, though I don't know if you would be able to market it effectively to make a huge impact on the market. If this is 2016-2017 crypto market, any coin can make a decent profit by copying and altering another coin's code and making a catchy name on it, but that does not work anymore in today's market. Aside from a working crypto coin, you must also have an effective marketing team to get your target audience buy whatever it is that you are trying to sell to them.
Every post you see about crypto market makers is mere speculation. We can't even be sure as to whether or not they exist or not.
In other markets, there are specific regulations about how the service of market maker can be provided, who can be licensed to do it, requirements, limitations, responsibilities etc. That's how we got to know about it in the first place.
In terms of crypto exchanges, I don't think there are openings for such positions. If an exchange wants liquidity, it's likely they just using own funds to build up buy and sell walls. As much of a conflict of interest that can be, there's little regulation against it. As of third parties running unauthorized and shadowy market maker operations for profit, they're likely just doing it in full automation. I bet it would require huge volumes to be done in crypto and it would be very risky due to crazy volatility.
In other markets, there are specific regulations about how the service of market maker can be provided, who can be licensed to do it, requirements, limitations, responsibilities etc. That's how we got to know about it in the first place.
In terms of crypto exchanges, I don't think there are openings for such positions. If an exchange wants liquidity, it's likely they just using own funds to build up buy and sell walls. As much of a conflict of interest that can be, there's little regulation against it. As of third parties running unauthorized and shadowy market maker operations for profit, they're likely just doing it in full automation. I bet it would require huge volumes to be done in crypto and it would be very risky due to crazy volatility.
I’ve seen several posts on here discussing crypto market makers. The whole crypto market making process seems rather simple and straightforward. My question is, say I’m a new token looking to list on an exchange, rather than hire a crypto market maker, why not have my team write a basic algorithm and be my own crypto market marker?
If your coin/token have use case you dont need any marketmaker since people that need coins will buy them and people that need to sell coins will sell them. If you coin/token have no use case and was made just to make developers rich then is much better if you let that coin die and never list it to any exchange.
I’ve seen several posts on here discussing crypto market makers. The whole crypto market making process seems rather simple and straightforward. My question is, say I’m a new token looking to list on an exchange, rather than hire a crypto market maker, why not have my team write a basic algorithm and be my own crypto market marker?
It was hard to be a crypto market maker well if you have lots of money maybe you can be part of the market maker, well if you have a good project then it will be a big pump then if you think your project can't compete on the current platform then I adviced that don't go on you will be just wasting your money to do it.I see a lot of people coming here asking about token creation.
People just want to know about exchanges, market stuff and so on. Only scams. People like the OP want to create a token list to profit from fools who will buy it .
Why don't you ask things like development, which projects are necessary now in the ecosystem and so on. But no, new tokens care only about exchanges and marketing. Scam.
Exactly. The question should sound like - I have an idea of token which will have futures a, b and c. Will it be a valuable product or not? How can I improve it?People just want to know about exchanges, market stuff and so on. Only scams. People like the OP want to create a token list to profit from fools who will buy it .
Why don't you ask things like development, which projects are necessary now in the ecosystem and so on. But no, new tokens care only about exchanges and marketing. Scam.
It is about marketing too, but it is definitely not the first thing to worry about when you thinking about starting own token
I really do not understand what do you mean, you are talking about creating own exchange? You know that the most inportant thing is the volume and the way how you get is a by giving more than other crypto exchanges.
Dude, in most cases the companies that do crypto market making are huge firms like GSR and when they are smaller, more boutique firms like Kairon Labs, they still have a whole team of dedicated experts. It’s not as simple as putting a few of your devs on it.
The crypto market maker has to have an expert level understanding of how financial markets operate, the crypto space and has to be able to create algorithms that can meet those conditions. I’m not an expert on this subject but I’ve seen a few posts on here discussing the top crypto market makers and how they operate. In most cases it's a team of people from various technical and financial disciplines working together to create a comprehensive algorithm that can meet the many scenarios it is required to meet to function efficiently.
As the saying goes good work ain't cheap and cheap work ain’t good.
The crypto market maker has to have an expert level understanding of how financial markets operate, of the crypto space, and has to be able to create algorithms that can meet those conditions. I’m not an expert on this subject but I’ve seen a few posts on here discussing the top crypto market makers and how they operate. In most cases, it's a team of people from various technical and financial disciplines working together to create a comprehensive algorithm that can meet the many scenarios it is required to meet to function efficiently.
So who are the best ones then?
why not have my team write a basic algorithm and be my own crypto market marker?
In this case "basic algorithm" means writing a whole crypto exchange. Needless to say, this is infeasible. And even if you will write some small, very limited exchange, no one will use it, because it would be untrusted, feature only one or a few pairs and generally have poor experience. There's zero reason for users to choose your exchange over a real exchange.
In the early days of ICO, when there was no Ethereum tokens, ICO teams used to make some simple sites for buying their coins, so if you're making a full coin with its own blockchain, this can be an option, but it won't be a market.
I’ve seen several posts on here discussing crypto market makers. The whole crypto market making process seems rather simple and straightforward. My question is, say I’m a new token looking to list on an exchange, rather than hire a crypto market maker, why not have my team write a basic algorithm and be my own crypto market marker?
It was hard to be a crypto market maker well if you have lots of money maybe you can be part of the market maker, well if you have a good project then it will be a big pump then if you think your project can't compete on the current platform then I adviced that don't go on you will be just wasting your money to do it. I’ve seen several posts on here discussing crypto market makers. The whole crypto market making process seems rather simple and straightforward. My question is, say I’m a new token looking to list on an exchange, rather than hire a crypto market maker, why not have my team write a basic algorithm and be my own crypto market marker?
So you want to create a new token with you team right, then just go ahead there is no barrier for you to create a new token.Only the issue will be listing process on exchange then only your crypto will have a real value or its just a useless token. I’ve seen several posts on here discussing crypto market makers. The whole crypto market making process seems rather simple and straightforward. My question is, say I’m a new token looking to list on an exchange, rather than hire a crypto market maker, why not have my team write a basic algorithm and be my own crypto market marker?
Then where is the transparency when you yourself and your team became their own crypto market maker? And to be a crypto market maker, obviously, you need some experience, in short you need to be an expert and market market is really a niche that only few companies can do.
If you are interested, you can check this list and see if you and your team can provide the service,
https://hedgetrade.com/top-crypto-market-makers-2020/
Can't get your idea. If I'm right you have a token and you want to build your own exchange to list your token. It's possible, many new exchange start with their own coin and a self-built blockchain network.
He means to create a new coin with his own code that already programmed through rent some programmers to working on it. It looks like he didn't understand if he can even create it personally without even needed a party who can issue the new asset.
Can't get your idea. If I'm right you have a token and you want to build your own exchange to list your token. It's possible, many new exchange start with their own coin and a self-built blockchain network.
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