I highly recommend reading the full Melee PMM Litepaper. It's one thing to hear that the PMM "solves dilution." It's another to understand the mechanism that makes that possibleโand what it could unlock for traders, creators, and passive capital. The future of prediction markets may not be built around finding more market makers.
It may be built around designing markets that don't need them.
Read the litepaper. Then decide for yourself. ๐
https://t.co/2JM0xyES8o
Cheers.
Prediction markets have a liquidity problem. CLOBs need professional market makers before a market can really function. Traditional parimutuel markets can start with the first dollarโbut early winners get diluted as more money enters.
@meleemarkets PMM is designed to solve both.
And this is only scratching the surface.
The interesting part isn't just what the PMM doesโit's why each mechanism exists and how the pieces fit together.
The dilution problem.
The mutually aware curves.
The minimum-return floor.
Counterparty-liquidity rewards.
The cashout LP.
The entire architecture is designed around one question:
How do you make prediction markets truly permissionless?