Are Market Makers Creating Crypto Chaos? Analyzing the Web3port Controversy

Market makers play a vital role in the crypto ecosystem, providing liquidity, ensuring efficient trading, and preventing excessive price volatility. Exchanges like Binance even incentivize market makers through dedicated programs to keep bid-ask spreads tight and order books deep, which benefits traders and projects alike. However, recent controversies surrounding market makers raise concerns about whether they are acting as stabilizing forces or exploiting their position for massive profits at the expense of retail investors. Web3port Controversy: A Market Maker’s Power Play? Market makers continuously place buy and sell orders, ensuring traders can execute transactions without significant price fluctuations source: https://beincrypto.com/market-makers-heroes-or-villains-crypto/