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Prop AMMs were def a big improvement but imo their current instantiation is still inferior to a CLOB
Limitations include:
1) As a UI users I cant use limit orders and reliably be filled (e.g. no price-time priority)
2) Offchain router cant guarantee best quote
3) Offchain route black box/closed source
5) Offchain router is permissioned for integration
6) Tx limits + CU limits means a swap cant aggregate over all prop AMMs
7) Harder for non native Solana MMs to integrate
8) Harder for bots to get global view of liquidity
9) Harder to write taker strategies
Some combination of standardization and protocol upgrades (e.g. increase TX size) _might_ enable prop AMMs to be better than a CLOB but we aint there yet
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