Common characteristics include:
- One-time onboarding or integration fee (typically $5,000-$50,000, depending on scope and exchange coverage).
- Monthly retainer (typically $2,000-$15,000, depending on the number of exchanges, reporting requirements, and uptime expectations).
- Trading capital deposit consisting of tokens and stablecoins (the "Trading Capital Deposit"), commonly ranging from $100,000-$500,000 in total value.
- Profit-sharing arrangements (often 5-25% of trading profits generated from the deposit).
- Explicit liquidity KPIs covering spread targets, depth obligations, uptime, and loan utilization.
The Trading Capital Deposit will fluctuate in value as the market maker buys and sells. If the market maker is a net seller of tokens, the stablecoin balance increases; if a net buyer, the token balance increases. At the end of the engagement, borrowed assets are returned directly to the project.