It's pretty uncommon for exchanges to do all their market making directly, and many of the ones that do still rely on outside market making.
FTX was almost the exception since Alameda spun out of it IIRC
FTX was almost the exception since Alameda spun out of it IIRC
Point is, in real finance, it's pretty uncommon for exchanges to do any of their market making. Largely to ensure they can project confidence in crises. Market makers blow up. Exchanges shouldn't.
Not really. They used to! (A hundred+ years ago.) But we learned that an exchange blowing up is a hell of a lot worse than a bank or broker. So most systems segregate the functions. (It's also not great to have an exchange making markets and thereby having a vested directional interest.)