Market makers play a crucial role in keeping markets liquid and prices stable in the decentralized world of Web3.
They use specific metrics like trading volume, order book depth, bid-ask spread, price volatility, and slippage to assess liquidity and trade execution ease.
Web3's decentralized nature introduces complexity, requiring market makers to integrate new strategies and tools while still focusing on centralized exchanges.
Market makers face challenges in keeping up with evolving technologies, balancing innovation with security, and understanding smart contracts to mitigate risks.