Today, we are excited to unveil Reservoir, a web3-native NFT order book protocol.
The NFT market exploded in 2021, yet it still remains relatively immature and illiquid. Most secondary trading happens on a single marketplace, orders are stored in centralized databases and the market making industry consists of a few bots making low-ball offers.
This is largely because NFT marketplaces follow a monolithic model, tightly coupling their front-ends, order books and swap contracts, which fragments liquidity and creates bottlenecks for innovation.
Reservoir unbundles this model with an open and permissionless order book that aggregates all liquidity into a single shared pool.