Our R&D team is already working on Phase 2 of Balcore: market making for tokenized assets, including equities, on AMM DEXs. This morning, our R&D lead and I were discussing moves like the one in this chart. A market trades within a range, spikes sharply, then reverses hard. How do we market make through that, ruthlessly capture fees from traders, and prevent inventory imbalance from eating away the results?
That is where our discussion gets interesting. Which boundaries should the engine operate within? When should it deploy, defend, reposition, or step back? We are managing two assets in a pair, not simply betting on one price direction. Chasing every move is not the objective. Making the right decisions for both sides of the inventory is. Collecting fees is only part of the job. The goal is to keep those fees ahead of impermanent loss.
Iβm telling you again:
@Balcore_AI is a monster. We are building it to be ruthless about fee capture without being reckless with capital. These are the market conditions we are working through, not just the comfortable ranges where everything looks easy. You are going to find out in real time.
Be the Market Maker. There is no escape. πΊ