Uniswap Founder: Tokenization Will Reshape Global Market Liquidity, AMMs May Eventually Replace Some Traditional Market Makers

Odaily News: Uniswap founder Hayden Adams published a long post on the X platform, stating that as traditional assets such as stocks progressively become tokenized, AMMs are expected to expand from crypto long-tail assets and the stablecoin market into traditional financial markets. He believes that tokenization makes markets programmable, which not only changes how markets operate, but also what kinds of markets can exist, who provides liquidity, and how trading pairs are formed between different assets.

Adams argues that in the future, on-chain liquidity may be reorganized around correlation-based trading pairs—for example, NVDA could trade directly against SPY, with SPY/USD serving as the bridge to the US dollar. Meanwhile, he stated that AMMs will win the market. Beyond correlation-based trading, another important factor is the continuous improvement in AMM design and customizability—for instance, Uniswap v4 Hooks enables deep market customization, significantly enhancing LP returns. Adams believes that passive liquidity will ultimately follow a similar development path and prevail, and its impact could be even greater, as it can substantially lower the barriers to creating and participating in markets.