Spoke to a large fund of funds manager yesterday about market makers, here's what I gathered:

1. The opaque-ness of these market maker deals is causing new friction when underwriting what would be otherwise great deals. They lack insight into these specific internal agreements when writing checks and now are thinking about new procedures for types of MM agreements they will "ok" in the future.

2. OTC screenshots, slack message grabs, and document reveals from anon accounts are causing them and their LPs to be more careful in their dealings. Tightening up the shop is how you could think about it.

3. Broadly speaking they view MMs as a necessary force in the price discovery of assets on CEXs, but the agenda has shifted away from sketchy deals. "The gig is up" type vibes. Less % allocated to MMs, far clearer terms, new practices. We've seen several top tokens nuke -80% in a matter days as of late, which is concerning for investors who aren't in the loop as to what's happening behind the scenes.