From a pragmatic point of view, we think derivatives for cryptocurrencies will get the bulk of initial attention. But that is up to the market makers building on our protocol.We are designing trading derivatives to be optimal for trading in terms of speed, fairness, and security, while also incentivizing liquidity. Vega ensures fair trading by combating front-running and market manipulation better than any other blockchain. Vega Protocol offers a unique approach to market creation and liquidity incentivization.
Vega is a fundamental level of infrastructure for programmable markets and financial products on the blockchain. It allows users to create, customize, and deploy markets safely with minimal effort.At this stage, we just want to establish the fact that Vega Protocol is the best place to deploy peer-to-peer markets with liquidity, good prices, and low fees. As a team, we are less focused on specific markets. When we talk to our market making friends, their interest is incredibly variable. The fact is, we can create markets around virtually anything. When asked: “What markets are most likely to be successful? Where do we see the most demand?” The answer is a moving target.
The protocol has built in rewards for people providing liquidity. Effectively, if you’re a liquidity provider committed to a market, it’s like you’re an equity investor in that market. You have a claim, within the protocol itself, on a percentage of the fees that that market generates. Even if you’re not trading, because you’re supplying base liquidity – as market maker of last resort – you’ll always get paid when trading happens on that market. So, liquidity is incentivized, and you’re encouraged to go out and get more people trading to increase your rewards as the market maker.
作者 : Jake Simmons