Market making is a financial service provided by firms or individuals known as market makers. They facilitate trading by providing liquidity in the market, meaning they are always ready to buy or sell a particular asset, such as stocks or cryptocurrencies. This helps ensure that there are enough buyers and sellers, making it easier for other traders to execute their orders quickly. Market makers profit from the difference between the buying price (bid) and the selling price (ask), known as the spread. By maintaining this spread, they help stabilize prices and reduce volatility, which benefits all participants in the market.