Track liquidity from Market Makers

“Market Maker Monitoring” by Forgd, allows you to track all essential trade activity from all market makers. Forgd integrates directly with Market Makers & Exchanges to process data on depth, volume, and spreads and allows projects to track these key performance indicators from a free-to-use dashboard. This ensures transparent engagements and accountability for all, and allows projects to maximize the value of their engagements.

Forgd is free-to-use for all blockchain projects. You can monitor depth, volume, and spreads from up to 8 market makers from a user friendly dashboard, all at zero cost. Additionally, Forgd can help you engage new Market Makers by facilitating a competitive bidding process for market makers to submit proposals to provide liquidity for your project’s native token. 

Forgd will never share data provided by your Market Maker with anyone outside of your core team. 

The most important metrics to track are “% of Depth”, and “% of Maker Fill Volume.” While metrics such as total trade volume and spreads are indeed important, the primary role of a market maker is to facilitate efficient price discovery for your token. This can only be accomplished if (1) the market maker is providing a meaningful amount of liquidity, and (2) if the market maker's liquidity is actually executed against. You should also monitor a market maker's "Utilization Ratio". A utilization ratio is a way to measure the market maker's turnover on capital (either a token loan, or a loan of tokens & stablecoins). If a utilization ratio is low, this means that most of the capital loaned to a market maker is not actively allocated to the market.

Absolutely, Forgd can facilitate your engagement with experienced market makers to enhance your token’s liquidity and trading performance. Our platform connects you with reputable market makers, ensuring your token achieves optimal market presence and stability. Best of all, Forgd is free-to-use for blockchain projects.

Forgd is free-to-use for all blockchain projects. Forgd will facilitate a competitive bidding process for market makers to submit proposals to provide liquidity for your project’s native token. The commercials required from your selected market maker will vary depending on the type of engagement you select.

Absolutely, Forgd helps improve liquidity for native tokens by facilitating engagements with reputable market makers and providing strategies for effective liquidity management, crucial for maintaining healthy trading conditions.

If you choose not to work with a professional market maker, your token may suffer from poor liquidity. This can negatively impact your token in the following ways:

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• First, a lack of liquidity can result in runaway price depreciation of your token. For example, a lack of bid-side liquidity from patient buyers means that even small orders to sell your token will have significant market impact.
• Second, illiquid markets are prone to low trading volumes, which are unlikely to attract speculative traders or convince new exchanges to list your token. Since buyers and sellers cannot trade at efficient prices, they are unlikely to interact; therefore, no trades are consummated and no volume is conducted.
• Third, poor liquidity can cause large discrepancies between your token’s price and its fair value. Accordingly, your development efforts to scale your protocol and grow the value of your token’s utility may be conducted in vain given that your token’s price is the only thing people care about, and its performance is influenced almost entirely by natural buying and selling, rather than evolving or deteriorating protocol value.

Forgd is a comprehensive, free-to-use platform designed to support blockchain projects with tokenomics design, market maker engagement, exchange listing, liquidity monitoring, cap table management, and financial planning. Aimed at democratizing access to essential tools and advisory services, Forgd empowers projects to launch and manage their tokens effectively within the blockchain ecosystem.

Yes, Forgd provides consulting and advisory services, offering hands-on support from experienced advisors to help blockchain projects navigate the complexities of launching and managing a token successfully. These services are offered to select projects and are available via application only. Learn more about Forgd consulting and advisory services on our Pricing page. 

Yes, Forgd offers a variety of self-service products that allow projects to independently manage tokenomics, engage with market makers, and prepare for exchange listings using our platform’s automated tools and resources.

Liquidity is the appetite of patient buyers to purchase an asset, and the appetite of patient sellers to sell an asset. Liquid markets allow traders to buy & sell:

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• What they want
• When they want
• With minimal transaction costs

Yes. Illiquid markets are prone to low trading volumes, which are unlikely to attract speculative traders or convince new exchanges to list your token. Since buyers and sellers cannot trade at efficient prices, they are unlikely to interact; therefore, no trades are consummated and no volume is conducted.

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With no promise of revenues from trading fees, centralized exchanges are unlikely to list your token if it has low trade volume. Furthermore, many centralized exchanges will de-list tokens with poor liquidity and low volume due to the poor user experience they provide their customers. Finally, decentralized liquidity pools are also unlikely to attract liquidity given that minimal fees are generated from swaps, thus resulting in minimal revenue share to liquidity providers via yield farming.

Yes. A lack of liquidity can result in runaway price depreciation of your token. For example, a lack of bid-side liquidity from patient buyers means that even small orders to sell your token will have significant market impact. Dramatic price shifts and large “red candles” on a trading chart may be perceived by existing token holders as deteriorating fundamentals, or a “flaw” in the underlying protocol. As a result, they may sell their tokens as well, thus catalyzing further price depreciation.