Major Study Reveals Lack of Market-Maker Disclosure in Crypto Protocols
- Fewer than 1% of over 150 crypto protocols disclose terms related to market makers.
- Only one protocol, Meteora, publicly shared details in its Annual Token Holder Report.
- 91% of reviewed protocols generated trackable revenue, yet only 18% published quarterly updates.
- Perpetual futures and decentralized exchanges lead in disclosure practices compared to layer-1 projects.
- Opaque market-maker arrangements have drawn scrutiny for potential price manipulation risks.
The study highlights a significant investor relations gap within the crypto industry, with most protocols not formalizing their financial data despite its availability through third-party analytics platforms. This lack of transparency can hinder informed decision-making among investors and stakeholders.
With only one out of over150 protocols disclosing market-making terms, the findings underscore a critical transparency issue that affects the entire crypto ecosystem. (Source)
