Uniswap founder Hayden Adams presented his arguments for why automated market makers (AMMs) should be at the center of the tokenization wave sweeping global finance, as markets continue to evolve to meet the demand for always-available infrastructure.
Hayden's comments came as Uniswap actively seeks to capture a significant share in the race for tokenized stocks, which itself is only a part of real-world deposits on blockchain approaching $4 billion, as Cryptopolitan reports.
Why the Uniswap Founder Believes Automated Market Makers Are Better Suited for Tokenized Markets
Adams's core idea regarding blockchain technology and tokenized systems is that blockchains separately manage execution, storage, and settlement, whereas traditional market makers simply bundle them together.
According to Adams, instead of concentrating project participation in the hands of a few established companies capable of handling all the necessary vertical integration, blockchain technology lowers the barrier to market entry.
In the scenario described by Adams, automated market makers (AMMs) are ideally positioned as they favor tightly correlated asset pairs, where passive liquidity carries lower inventory risk, while offering costs that are competitive with major professional trading venues.
Adams expects the migration of assets onto blockchain to continue in the future, which will naturally lead to the reorganization of trading around correlated pairs, as well as several cross-chain routes, and will expand market access. The Uniswap founder also expects passive AMM strategies to begin moving in the same direction as index funds.
Adams's initiative to introduce tokenized AMM platforms followed his January dispute with AMM critics who called insufficient compensation for liquidity providers a structural flaw. As Cryptopolitan reported at the time, the founder pointed to the growth of Uniswap pools as proof that AMM liquidity is easier to use as collateral than alternative options.
The Tokenized Data Market Has Experienced Explosive Growth
Hayden Adams's argument in favor of AMMs (automated market makers) is based on risk-weighted deposit (RWA) data, which has grown approximately sixfold over twelve months—from $650.88 million to around $3.98 billion, according to DeFi data cited by Cryptopolitan on August 18.
The total issuance of tokenized securities in this sector has reached $34.55 billion.
Uniswap itself is actively operating in the new global market of self-service and 24/7 availability, announcing support for over 190 Robinhood stock tokens in its protocol, apps, and API as of August 13. One SPY tokenized token pair generated $33 million in 12 days.
Uniswap is also directly engaging with regulated issuers: in July, it introduced Permissioned Pools, a version 4 mechanism that restricts trading to wallets from an issuer's approved list, naming tokenization companies Securitize, Superstate, and Dowgo as launch partners.
Its own UNI token did not track this optimism. At the time of Adams's post CoinMarketCap valued the token at approximately $3.25, with its market capitalization around $2.03 billion, significantly below levels seen earlier this year
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