Market-Making and Liquidity

Simply tokenizing assets is not enough – they need liquidity to be attractive. Liquid is actively building an on-chain RWA Marketplace with integrated Automated Market Making (AMM) optimized for real-world assets. Our approach includes:

AI-driven market making algorithms to minimize slippage (aiming for <0.5% even on typically illiquid assets)​. The AMM uses a constant product formula (x*y=k) like Uniswap, but with AI adjustments based on real-time demand, sentiment analysis (scraping news or social media for relevant signals), and macro conditions​. This dynamic pricing is a unique differentiator.

A 0.3% trading fee on the marketplace, which undercuts many exchanges and improves cost efficiency for traders​. Moreover, liquidity providers (LPs) earn 0.2% of each trade in Liquid’s native token as a reward​, incentivizing deep liquidity. (This also drives token utility, see $LIFI below.)

Cross-listings and integrations: Liquid isn’t an isolated island. We are integrating with major Solana DEXs and aggregators so that any RWA token issued can be traded broadly in the Solana ecosystem​. If someone wants to swap a Liquid token on Serum or Jupiter aggregator, they will be able to – Liquid will supply the needed market infrastructure. This openness contrasts with closed platforms that only allow trading in proprietary marketplaces.

Jurisdiction-based filtering on the marketplace to ensure offerings are only shown to eligible investors. This maintains compliance even in secondary trading – e.g., a U.S. unaccredited investor simply won’t see or be able to buy a token that was issued under Reg D for accredited investors. This kind of fine-grained control is appealing to institutions worried about secondary market compliance.

Traction and Credibility: (As of Q2 2025) Liquid is launching its platform and native token, and has already garnered industry attention. We’ve formed strategic partnerships (including participation in Solana’s hackathons​ and RWA consortiums) and are building a community of early adopters. Our team is composed of experts in blockchain, finance, and law (with backgrounds in top institutions – details can be shared separately). This interdisciplinary strength reduces execution risk. Moreover, public commentary from industry leaders in our materials (BlackRock, ARK Invest, etc.) underpins that we’re tackling a timely problem​.

In comparison to other players:

Ondo Finance: Focused on tokenized funds (like tokenized treasuries) and primarily deals with accredited investors; it lacks AI automation and end-user tokenization tools​.​

Traditional Blockchains (Ethereum, Avalanche): They provide the base layer but not the integrated stack Liquid offers. For instance, Ethereum’s RWA activities rely on disparate dApps and suffer from higher fees and slower throughput. Avalanche has fast finality but requires custom subnets for features like KYC (e.g., Deloitte’s subnet) which is not a universal solution​. Liquid is chain-agnostic in usage but provides a holistic platform out-of-the-box, which these general layers do not.

Bottom line for investors: Liquid isn’t just another tokenization project; it’s aiming to be the infrastructure backbone for a tokenized economy. By uniting technology (AI + blockchain), compliance, and market mechanisms, Liquid creates high barriers to entry for competitors. As the $217T RWA market inevitably migrates on-chain, Liquid stands to capture significant value by being the most seamless and trusted gateway.