Reporting Standards for Automated Market Makers
Reporting standards for automated market makers (AMMs) are the protocols for documenting and disclosing the performance, risk, and activity of these algorithmic trading engines. As AMMs become a core component of the derivative ecosystem, there is a growing need for standardized reporting that allows for easy comparison and assessment of risk.
These standards cover metrics such as impermanent loss, slippage, and volume, providing a clear picture of how the AMM is functioning. By establishing these standards, the industry can move toward a more mature and professional environment, attracting institutional capital that requires consistent data for its decision-making.
Developing these standards is a collaborative effort that involves developers, auditors, and researchers working to define what "good" reporting looks like in the context of autonomous financial systems.