Most traders are actually market makers because they change spreads. Market makers have in all markets. When I was little, I used to buy a motorcycle, then I used to use myself for some fun and sell it for profit. It's possible, because I have some wiggle room with price. Let's say a motorcycle is worth about 1000 euro. You are trying to buy from people who want to sell quickly and don't care about getting the best price. They just want to get rid of the damn thing. So they pay them 850-900 euros. Then you're trying to sell it for 1100-1200 euros. The majority of buyers in the second-hand market will pay you a little less after you ask, but it's not bad to dial quickly without having to do any work on it.
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However, it is sometimes better to do some work on it, it depends on the situation. If you are useful to yourself, try to buy a bike with some problems and then repair it cheaply. Because sometimes this way you can get a very good deal.
Market makers are not bad because they create volume and liquidity in a market. This makes it easier for other people to trade.
Spreading is the difference between purchase and sale price. Market makers try to find an agreement between the two parts.
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Let's say one thing is 1000 theoretical. There are some buyers who want to pay only 800 on the market and sellers in the market are trying to sell 1200.
Then you come as a market maker and you say that it will not work like that, but we will be able to cope. I can sell it to the buyer for 1025 and buy it for 975. If they really want to do something, they will buy the market maker because you will have the best price to offer.
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