Market Maker

Two-sided order ladders on X1 · currently paused

What this is

A two-sided market maker places a buy order a set distance below the current price and a sell order the same distance above. When the price moves and one side fills, the missing side is laid again from the new price.

Paused   No tokens are configured and no orders are open. If it is switched on again, the orders appear below as they are placed.

Open orders

Buy side (below the price)

Sell side (above the price)

How the math works

Example with the price at 1.00 and orders 8% away:
  · the price dips and a buy fills at 0.92
  · the price recovers and a sell fills at 1.08
  · that slice made about 17% before fees

It only pays when the price swings back and forth. If the price falls and stays down, the buy side holds a token worth less than it paid. That risk is why it runs only as a small, measured test.