In the context of Liminal.market, the market maker operates at the broker level, rather than within the blockchain ecosystem. This arrangement has several implications for the platform and its users:
Since the market maker operates on the broker level, Liminal.market is not responsible for maintaining or managing the market maker. This allows the platform to focus on providing a seamless trading experience for users without the added burden of handling market maker operations.
The market makers associated with Liminal.market are more established and deeper than those typically found in the crypto market. Major players like Jane Street, Citadel, and Virtu contribute to this depth, offering a level of liquidity and stability that surpasses what is commonly found in the crypto space.
A downside of the market maker operating at the broker level is the lack of transparency. The market maker's operations are often hidden behind a black box, making it difficult for users to gain insight into the underlying mechanisms and strategies employed. This lack of transparency can lead to concerns and questions about the fairness and efficiency of the market-making process.