Market making improves liquidity on Tokens.net exchange. A key indicator of the liquidity is the spread, or the difference between the best price at which crypto asset can be sold and bought at a given point in time, and sufficient supply of pending orders on the bid and ask side.
Market takers need liquidity to ensure efficient price whenever they need to open or close a position. They take liquidity from the exchange order book and compensate by paying a fee. Trading involves risks and investments may lose value.
Market makers continuously open positions at which they buy (ask) and sell (bid) crypto assets to make a profit on the ask-bid spread. This involves risk of holding assets that may lose value after purchase and before sale. They provide liquidity to the exchange order book by zero trading fee incentive. Since market making is very time consuming, Tokens.net offers market making robot. Every platform user can set up bots, to place orders automatically, free of charge for any trading pair listed.
Higher liquidity is expected to skyrocket real volume, especially in times of greater volatility, and transparently burn dynamic trading rights (DTR).
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