with mestop trading in his house Alameda Researchis one of the main ones market makers of crypto WHO fade. ABOUT Kaikoor decrease in liquidity it’s LIKELYaggravated by losses generated by FTX.
FTX it’s officially bankrupt, making a total of 134 subjects. The issue is resolved and the page can be returned? Not really. of the consequences of this explosion will continueespecially at the level of liquidity from crypto-asset market.
The reason is simple, he emphasizes Kaiko On Monday in a report that introduces a neologism: theAlameda Gap. Indeed, with the empire of SBFis one of Major market makers disappear. This dissolution is not without an impact on liquidity as a whole.
Main market Manufacturers affected
Alameda Research was one of the largest market makers in crypto, providing billions of dollars of liquidity to large-cap and small-cap tokens,” the authors recall.
This role and this weight in the Alameda market would also have increased further by one confusion between FTX assets and that of the market maker. “ We can expect one significant drop in liquiditywhich we will call ‘Alameda Gap’ »predicts Kaiko.
The exchange’s sister company is not the only player affected. However, crypto liquidity is actually supported “ a handful of trading companies ». Among these can be mentioned winter, The Amber Group, B2C2, Genesis AND cumberland.
However, these various market makers are not unaffected by the fall of FTX either, which therefore also affects the liquidity of the tokens. The report thus estimates that the gap created by Alameda is “ aggravated by losses » other content.
Effects on Bitcoin and Ethereum
Some of them announced that part of their capital is blocked in FTX accounts. For Genesis, this much reached 175 million dollarsthe company estimated last week.
The Amber Group AND winter are also affected. The freezing of these funds for an indefinite period due to the bankruptcy of FTX and its liquidation, “ may affect all their market making operations ».
Kaiko is already observing one decrease in liquidity for some of the main arguments, including Bitcoin.
Since November 5, Kraken’s BTC depth has fallen by 57%, Bitstamp by 32%, Binance by 25% and Coinbase by 18%,” analysts estimate.
Risks above all for illiquid altcoins
However, these are meant to be reassuring about BTC and ath, the top two cryptocurrencies by capitalization. Since the May/June crisis episode, their liquidity has been steadily increasing.
The withdrawal in November should not have a very strong impact. Is here liquidity of altcoins who asks more questions
Alameda invested in dozens of projects and held millions of dollars in low-liquidity land. But since Alameda was also a market maker, we can assume that they were also a major liquidity provider for the same tokens,” suggests Kaiko.
This is especially true for DEX Solana tokens. Serum (SRM)birthmark e Solana AND MAPS. for floorfor example, “ total market depth fell 50% ».
primary stable currencyon the other hand, regardless some loss of paritythey are not it is not in danger, the report says. In derivatives markets it is a “ extreme volatility » which nevertheless dominates. At the macro level this time, Kaiko also notes a connection between crypto and traditional finance.