Successful coins employ marketmakers

in blurt •  2 years ago 

I see the Blurt price drop has roiled this community, with lots of arguments about the intent of the sellers.

The fact is that intent doesn't matter. Whether someone sells because they rage-quit, had to pay bills or simply saw a better opportunity for their funds, the end result is the same.

That's why you need marketmakers - they ensure liquidity, so that small sales don't crash through all the bid offers.

With Blurt, it's clear that activity on ProBit sets the price, (and there is some arbitrage on Ionomy) even if volumes on Hive-engine are greater.

Which means that to support the price, buying needs to take place on Probit rather than Hive-Engine, even if it's inconvenient.

Massing all the buy orders in one place creates liquidity and solid buy walls.

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