AI Guided Market Making Agent

# Clone repository
npm install -g degit
degit sendaifun/solana-agent-kit/tree/main/examples/market-making-agent market-maker
cd market-maker

# Install dependencies
pnpm install

# Configure environment
cp .env.example .env.local

interface MarketMakerConfig {
  marketId: string;          // Manifest market ID
  baseToken: string;         // Base token symbol
  quoteToken: string;        // Quote token symbol
  quoteParams: {
    number: number;          // Quotes per side
    minDepth: number;        // Min price distance
    maxDepth: number;        // Max price distance
  };
  allowance: {
    base: number;           // Base token allowance
    quote: number;          // Quote token allowance
  };
  intervalSeconds: number;   // Update interval
}

{
  "marketId": "2Uj8277fkaVBtTU6Wp2GPRbQC86SkSdgQ2mp1Q5N2LHc",
  "baseToken": "SEND",
  "quoteToken": "USDC",
  "quoteParams": {
    "number": 4,
    "minDepth": 0.1,
    "maxDepth": 2
  },
  "allowance": {
    "base": 2,
    "quote": 3
  },
  "intervalSeconds": 20
}

function generateQuotes(midPrice: number, params: QuoteParams): Quote[] {
  const quotes = [];
  for (let i = 0; i < params.number; i++) {
    // Add randomization to prevent front-running
    const randomFactor = 1 + (Math.random() - 0.5) * 0.01;
    const depth = params.minDepth + 
      (params.maxDepth - params.minDepth) * (i / params.number);
    
    quotes.push({
      price: midPrice * (1 + depth) * randomFactor,
      size: calculateSize(depth)
    });
  }
  return quotes;
}

async function startMarketMaking(config: MarketMakerConfig) {
  while (true) {
    try {
      // 1. Get current market state
      const marketState = await getMarketState(config.marketId);
      
      // 2. Generate quotes
      const quotes = generateQuotes(marketState.midPrice, config.quoteParams);
      
      // 3. Place orders
      await placeOrders(quotes);
      
      // 4. Wait for interval
      await sleep(config.intervalSeconds * 1000);
    } catch (error) {
      console.error('Market making error:', error);
    }
  }
}

// Initialize configuration
const config = {
  marketId: "your-market-id",
  baseToken: "SEND",
  quoteToken: "USDC",
  quoteParams: {
    number: 4,
    minDepth: 0.1,
    maxDepth: 2
  },
  allowance: {
    base: 2,
    quote: 3
  },
  intervalSeconds: 20
};

// Start market making
await startMarketMaking(config);

interface MarketMakingLog {
  timestamp: number;
  midPrice: number;
  spreads: number[];
  balances: {
    base: number;
    quote: number;
  };
  activeQuotes: number;
}