Principal Market Making
Model
Principal market making (PMM) is a relationship structured under a loan and call-option model, whereby the project only commits tokens through a loan with interest. PMM relationships do not come with any monthly fee or profit sharing.
Advantage
Teams offset the risk of capital because Acheron Trading provides the cash/equivalent assets for liquidity provision.
Best suited for
PMM is best suited for projects listing on large exchanges and/or seeking to limit the risk associated with allocating quote capital to market making.
Exchange coverage/liquidity KPIs
Since Acheron Trading is the capital provider, we reserve the right to select which exchanges to support and the levels of liquidity.
Acheron Trading’s specificities
We structure our PMM agreements to be symbiotic, in particular not detrimental to price performance. We also provide a dashboard so that every lender can follow in real-time our liquidity metrics in full transparency.
