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AMM - automated market maker - and LP - liquidity pool - technology has been a big boon for crypto value for half a decade now Uniswap is Silicon Valley based
by yieldcrv 3y ago
AMM - automated market maker - and LP - liquidity pool - technology has been a big boon for crypto value for half a decade now
Uniswap is Silicon Valley based and venture backed, they launched the AMM and liquidity pool technology, it was immediately cloned and on its own removed the exchange gatekeeping from the equation about what can trade but the clones took that to a rabid level, there is no limit to what can have price discovery now. It doesnt need prestige or coordination for fungibility and exchange “listing” to exist
so everything trades now. liquidity is just parked in a pool, often irreversibly, so dead and defunct things always continue trading.
Most importantly, it’s fun
- bdjsiqoocwk 3y ago> Most importantly, it’s fun As an insider to the market making industry[1] I find it deeply unfun. I've long thought that Id take less money for more intellectually stimulating work. [1] in real markets, not mickey mouse crypto markets.
- yieldcrv 3y agoBecause you’re doing something harder and riskier, that AMMs have almost reached parity with feature set wise
- bdjsiqoocwk 3y ago> AMMs have almost reached parity with feature set wise I can tell you it definitely doesn't feel like that. It constantly feel like there's more ideas than time to implement them.