Which projects have been invested in? A comprehensive guide to market makers (MM) strategies and insights
1: How do market makers engage in wrongdoing?
The most typical example is to pump first and then dump, taking the notorious $YGG as an example. In August 2023, #DWFLabs released favorable funding news, increasing by 5 times in 6 days, with a single day increase of 50% for YGG, nearly reaching 1U, only to crash to 0.35 the next day. Retail investors were left devastated, while DWFLabs was revealed to have stealthily offloaded assets on the evening of the 6th.
2: What are the 'well-known' market makers?
1. DWF
Web3 venture capital and market makers, founder @Eug_Ng, headquartered in Singapore, founded DWF Ventures in 2023, which suddenly became popular, with over 250 projects already invested.
Representative works: $YGG$TON$CYBER$MASK$CFX $DODU
2. Wintermute
Founded in 2017 in the UK, official Twitter @wintermute_t
Representative works: $WLD$op$pyth $dydx $ena $cfg
3. Amber Group
Hong Kong market maker, official Twitter @ambergroup_io
Representative works: $ZKM $MERL $IO
4. Auros
Official Twitter @Auros_global
Representative works: $WLD affected by FTX, applied for bankruptcy protection in the British Virgin Islands in 2023, with $20 million in assets being held up at FTX, and news of successful restructuring has emerged.
5. Jump Trading
Founded in 1999, headquartered in Chicago, official Twitter @jumptrading
Representative works: $SEI $CHZ $IOTX6, GSR
6. Founded in 2013 in the UK,
Official Twitter @GSR_io
Representative works: $1inch $ALT$RNDR$GRT$SEI7,
7. Galaxy Digital
Official Twitter @galaxyhq, a technology-driven financial services and investment management company, primarily engaged in trading, asset management, capital investment, investment banking, and mining.
Representative works: $AVAX$TIA$LUNA$ENA
8. Kairon Labs
Providing high-end market making and financial consulting services, official Twitter @KaironLabs
Representative works: $INSP$SNS$ML
Three: How do market makers operate?
Normal operations:
A. Provide liquidity
B. Stabilize prices to prevent project failure due to excessively high or low prices
C. Market capitalization management, increasing project visibility. Under normal circumstances, market makers (MM) are roughly equal to exchanges (AMM). For example, in the case of (繁花), it is the Industrial and Commercial Bank registering stocks, but in reality, due to controlling a large amount of capital and being an information source, most have become involved in manipulating the market's dark operations.
A: Manipulate coin prices using advantages in information, capital, etc.
B: Misappropriation of funds
C: Arbitrage trading
D: Leveraged operations that endanger the market
Four: How to escape the pit dug by market makers?
1. Do not be an opponent of crypto market makers! In the crypto market, everyone hates the 'dog traders', but compared to market makers, they are just a drizzle. Hence, there is a saying: the first principle in the crypto world is - do not be an opponent of crypto market makers!
2. Guiding by the situation, studying the habits of market makers. Everyone has subconscious and conscious habits, and similarly, market makers also have effective techniques. Taking DWF as an example, their habit is: gentle decline - extremely mild fluctuations - strong pull - immediately vertical crash. This technique is seen with coins like $PYTH$YGG$PORTAL.
The chart below shows the landscape of 38 market makers:
Below are several coins traded by DWF market making. I suggest everyone study them more; detailed information can be found on rootdata!
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