These days, some people are still calling market making "lying down and earning fees"... I looked at the paths of a few pools, and the AMM curve is basically just automatically adjusting positions with the price. When the market moves apart, you're essentially buying low and selling high to the market, and if the fees aren't enough, impermanent loss eats into your profits. Many people only look at the few transactions they make, without comparing what would happen if they simply held the coins.

By the way, the debate in the community about privacy coins/mixing coins and their compliance boundaries is quite real: some are afraid of being tracked, others are afraid of being linked together. When there's a lot of unknown origin liquidity in the pool, I tend to be more cautious—prefer to earn less and sleep peacefully.