A fatal flaw in traditional AMM! The root cause of LP losses in prediction markets has been completely solved by Fortune🔥
Many people overlook a key truth: most of the traditional AMMs on the market were simply not designed for prediction markets!
The conventional DEX constant-product AMM model is designed for two-way volatility spot trading. But prediction markets have a unique ultimate rule: all token prices will inevitably converge to 0 or 1.
This leads to the hidden pitfall in all traditional prediction markets👇
No matter how the market fluctuates, no matter how users trade, liquidity providers (LPs) are destined to lose!
As the event gets closer and the price keeps converging toward extreme 0/1, imbalance in traditional AMM pools worsens. Impermanent loss is directly converted into permanent, fixed losses. LP principal is continuously diluted by the mechanism, so market making becomes the same as passively giving money away. It’s a fundamental, unsolvable design flaw that’s purely mechanistic.
That’s exactly why most prediction market LP returns are abysmal, and why no one is willing to deeply invest in market making.
Fortune’s disruptive breakthrough｜Exclusive pm-AMM algorithm
We specifically rebuild the underlying market-making logic, tailor-made for prediction market scenarios, and completely cure the design defects of traditional AMMs:
✅ Adapt to the prediction market’s ultimate 0/1 convergence behavior, eliminating mechanistic fixed losses
✅ Prevent pool imbalances under extreme market conditions and protect LP principal safety
✅ From an algorithmic level, eliminate permanent impermanent loss so that market making can truly deliver steady returns
While others endure inherent loopholes and passive losses, Fortune redefines prediction market making with a customized pm-AMM!
Break the industry’s entrenched pain points—so LP market making is no longer gambling on luck, but a truly controllable, safe, and sustainable income track 🚀