Cryptocurrency Market Makers Turn on the “High-speed Mode”. Come to CoinEx to Share 200,000 USDT Exclusive Prize Pool for Spot Market!
On December 16, 2020, SBI Financial Services, a wholly-owned subsidiary of Japanese financial giant SBI Holdings, announced that it has acquired 90% of the shares of cryptocurrency market maker B2C2. On January 20, 2021, Wintermute, an algorithmic liquidity provider for digital assets, announced the close of a $20 million Series B round.
The funds received by crypto market makers, both upstream and downstream, indicate a growing demand of this industry for market makers who reduce price volatility by fair price discovery and thus make financial markets more efficient.
As the crypto market grows in number and complexity, decentralized exchanges (DEX) have emerged to serve as a more direct link between market makers and users. Under this circumstance, liquidity providers are required to keep up with the times so as to ensure the efficiency of the market. To effectively unleash the liquidity and efficiency of the ever-growing market, a more flexible market-making strategy will be the key.
Liquidity, an important factor in increasing trading volume, can drive projects to be listed on large exchanges and other exchanges. Market makers can meet the demand as they can help create a market for the specific token and stabilize the price for future transactions, thereby narrowing the spread.
Crypto market makers have filled this gap. The fast-growing crypto market has attracted an increasing number of market makers to mining activities such as trade-driven mining and ask & bid mining.
Simply put, trade-driven mining refers to the process where a user can get platform tokens converted from the transaction fees he or she has generated on the platform.
“Trade-driven mining” is by nature a mechanism to refund the transaction fees to users as well as an incentive to attract users to provide liquidity for the exchange. In a traditional trading model, be it a buy order or a sell order, ordinary traders are required to pay certain transaction fees to the exchange before they can trade on the platform. By comparison, platforms with trade-driven mining will refund the transaction fees in the form of platform tokens to the users or market makers, which is a win-win result for both market makers and the exchange. With transaction fees as the incentive, this mechanism motivates users to trade, and as a result, increases an exchange’s trading volume and depth.
To improve spot market liquidity and further perfect user trading experience, CoinEx presents to you “Market Maker Incentive Program”. For grand opening, we have prepared a 20-day exclusive promotion for spot market makers in the first batch, and share the prize pool of 200,000 USDT! Meanwhile, CoinEx Global Market Maker Recruitment is officially online and we sincerely invite all talented MM teams worldwide to join us. The promotion details are as follows:
00:00 June 7, 2021–00:00 June 26, 2021 (UTC)
All spot market makers on CoinEx:
a. You are already a member of CoinEx Spot MM:
Go to promotion page and join the promotion.
Trade-driven mining: https://www.coinex.com/activity/mining/trade/13
Ask&Bid mining: https://www.coinex.com/activity/mining/bid/14
b. You are not yet a market maker of CoinEx:
Please feel free to get in touch via following approaches to sign up as our market maker and join on promotion page:
Mobilephone: +86 18926573865
The promotion includes “Ask & Bid mining” and “Trade-driven mining”. All participated spot market makers will share the exclusive prize pool of 200,000 USDT according to the following rules:
For this part, the total prize is 100,000 USDT, 5,000 USDT shared on a daily basis. During the promotion, all spot market makers can trade in any spot markets to participate in the program and share the prize based on the actual executed trading volume of all participated MM accounts. The upper limit of daily prize shared by each MM account is 1,000 USDT.
Note: Trading volume = The accumulated value of each transaction converted into USD.
“Ask & Bid mining”
For this part, the total prize is 100,000 USDT, 5,000 USDT shared on a daily basis. During the promotion, all spot market makers can trade in the following spot markets to participate in the program and share the prize based on the actual executed trading volume of all participated MM accounts. The upper limit of daily prize shared by each MM account is 1,000 USDT.
1. Spot markets available for this promotion
BTC/USDT, BTC/USDC, ETH/USDT, ETH/USDC, ETH/BTC, ETH/BCH, ADA/USDT, XRP/USDT, DOGE/USDT, BCH/USDT, LTC/USDT, TRX/USDT, ETC/USDT, EOS/USDT, and DASH/USDT
2. Scoring criteria
Mainly, the market makers will be evaluated by two indicators of spread and depth, and a snapshot of their spread/pending orders on a minutely basis to calculate scores.
- The above price range is compared with the average value of the Bid1 price and the Ask1 price on CoinEx; Bid1 and Ask1 refer to the highest price of a buy order (buy one) and the lowest price of a sell order (sell one); the average price is (Bid1+Ask1)/2=AVG;
- 0～3‱ is calculated as:
The buy order meets the conditions as 1*AVG > price > (1–3‱)*AVG;
The sell order meets the conditions as (1+3‱)*AVG > price > (1)*AVG;
3‱～6‱ and 6‱～10‱ are the same.
- The market value of the pending order=the cumulative value of the pending order amount that meets the price range.
“Spot Maker Rebate”
Newly registered spot market makers who have also participated in the promotion will enjoy a month of highest Maker rebate rate:
All prizes will be allocated to the spot accounts at 00:00 (UTC) on a daily basis.
V. Privileges of special market makers
1. Exclusive fee rate: Sign up to be a market maker during promotion to enjoy Optimal fee rate;
2. Exclusive API frequency enhancing service;
3. Exclusive withdrawal upper limit: Up to $5 million worth of withdrawal quota;
4. Exclusive interest free credit: Apply for high capital allocation free of interest.
VI. About CoinEx API
The security, stability, functionality and professionalism of CoinEx API are in the leading position in the industry. With reference to the market push protocols of major global financial exchanges, CoinEx API supports full/incremental market data push. Professional investors can build a complete market depth and order book locally to use more complex trading strategies.
For more information:
2. Becoming CoinEx MM: