Uniswap founder Hayden Adams has countered claims that Automated Market Makers (AMMs) are unsustainable, asserting their competitiveness across various market structures. In low-volatility trading pairs, AMMs offer relatively stable returns for participants with low capital costs, effectively outcompeting professional market makers with higher costs. For high-volatility, long-tail assets, AMMs remain nearly the only scalable liquidity solution, with liquidity providers often being project teams or early supporters focused on building liquidity rather than achieving perfect delta-neutral market making. This approach, Adams argues, is more effective than paying market makers option-like fees.
Uniswap Founder Defends AMM Sustainability Amid Criticism
Disclaimer: The content provided on Phemex News is for informational purposes only. We do not guarantee the quality, accuracy, or completeness of the information sourced from third-party articles. The content on this page does not constitute financial or investment advice. We strongly encourage you to conduct you own research and consult with a qualified financial advisor before making any investment decisions.
