Market maker provides capital liquidity to the market and allows your individual investors to buy and sell a coin at a fair price at any time on digital assets exchanges.

Market maker works in both positions: as seller and as a buyer, and do it very fast using low-latency APIs of the exchanges, creating the trading volume. Market maker earnings are based on spread and volatility.

Market making is a common and well-established practice in any finance (both crypto and fiat) or commodities markets. Citadel, Credit Suisse, Optiver, Deutsche Bank, Goldman Sachs and Company and many other big names are leading market makers in the US stock market.

Yes, because every token needs to have a liquid market as a service for investors and the broader community. Only top 10-15 coins are organically interesting for professional market makers. All other coins need special assistance, otherwise, they can face a lack of liquidity and unsatisfied investors. Even top 10-15 coins most often require help with liquidity on certain exchanges or trading pairs.

Market makers also uphold the market parameters (e.g., spread, volume), so they fit the requeirements of more sophisticated investors. For example, if there is a 3-5% spread on your token, you may attract only a few retail investors, but institutional investors will not be interested.

The main purpose of any crypto exchange, just like in fiat or commodities, is to connect buyers and sellers. However, if your token suffers a lack of attention thus there are few buyers and sellers for your token. And it is not exchange's trouble, it is not the scope of its work.

But market makers do, they play the role of buyers and sellers. Nowadays up to 50–60% of U.S. equity trading volume comes from high-frequency trading market makers — which allows retail investors to buy and sell at any time with the most competitive price.

Exchanges rely on market makers to provide liquidity on their platforms, especially in the crypto market, where volatility and spreads are much higher than in traditional markets. Exchanges consider market makers as important customers as retail and institutional traders and create specific market-making programs to attract liquidity providers.

Most top-tier exchanges now require projects to have market makers as a condition for getting listed.

Ask your exchange while getting listed to introduce you to 2-3 best crypto market makers.

Professional market makers have their own trading engines, low-latency infrastructure, development and DevOps teams, and internal traders — all of these strengthened by years of experience. Market making is a definite market position and role in the financial market value chain.

It is possible to obtain a 'trading bot' from GitHub, which will execute a simple trading algorithm with high latency. But this solution is not sustainable and may cause unexpected algo-loses (which can destroy your trading capital entirely), especially if some of the professional market players will start to compete with you as a 'market maker' and arbitrage your coin.

Market making is an acknowledged and sophisticated financial practice used for decades in traditional financial markets by some of the world’s best banks, hedge funds, and proprietary trading companies.

In the earlier days of crypto, some unfair players used to misuse the term. While the situation has improved significantly since 2020, there are still bad and ugly practices in the market. Read more about the Good, the Bad, and the Ugly practices of crypto market making. TLT only participates in the Good practices that are similar to the practices employed by the world’s best market makers in the traditional and crypto markets.

For example, we never create the trends or promise a specific price — these are the Bad, and Ugly practices of any market making. Most of them would be illegal in the traditional markets. Causing harm to investors will cost much more to you and your reputation than the short-term returns you can potentially receive.

We never use such Ugly practices as pump & dump, spoofing, and front-running or huge quotes.

It is good to keep in mind, that the results of a professional market maker job (when combined with good company fundamentals like product and marketing) are organically trending trading volumes and positive price trends. The market maker is a 'stability provider' to the market, protecting from manipulations, short-squeezes, and aggressive arbitragers.

We never rush price to overbought/oversold value, and vice versa chilling the market during volatility by lowering the spread to the fair price. Thus, protecting individual investors in your token from liquidations.