What creates liquidity in crypto?
What are the key factors that contribute to creating liquidity in the cryptocurrency market? Is it solely dependent on the volume of trades, or are there other elements at play? How do exchanges and market makers play a role in ensuring there's sufficient liquidity for traders to buy and sell assets without experiencing significant price fluctuations? Are there any specific strategies or practices that can be employed to enhance liquidity in the crypto space? And how does the overall health of the market affect the availability of liquidity for investors?
Who creates futures contracts?
Could you please elaborate on the creation of futures contracts? Who exactly are the parties involved in this process? Are they financial institutions, brokers, or individual investors? Also, how does the creation of these contracts usually take place? Is it through negotiations or some standardized process? Furthermore, what factors determine the terms and conditions of these contracts? Is it market conditions, specific needs of the parties, or something else? I'm particularly interested in understanding the roles and responsibilities of each party involved in the creation of futures contracts. Could you provide some insights into this aspect as well?