Binance Indication of Interest (IOI) is a new tool within our OTC and Execution Services suite, complementing our Request-for-Quote (RFQ) and high-touch execution offerings.
Designed for VIP and institutional traders, IOI enables the private signaling of buy or sell interest (Spot IOI) as well as borrowing or lending intentions (Loan IOI), facilitating early liquidity discovery for improved trade matching.
All Indications of Interest are submitted privately, ensuring that intentions remain confidential and are not revealed on the public order book.
Note: This is a general announcement. Certain products and services may not be available in your region.
Institutional trading and financing needs have evolved significantly with the growth of the crypto assets market. For VIP clients and sophisticated traders, executing large block trades or facilitating loan lending and borrowing without revealing their intent to the broader market remains a critical challenge.
Public order books can potentially exacerbate these challenges by widening spreads and increasing slippage risk, which in turn heightens market volatility. Meanwhile, blind requests for quotes may be inefficient and risk exposing trading intentions to competitors. To bridge this gap, Binance offers the Indication of Interest (IOI) feature, enabling private price discovery while minimizing market impact.
VIP and institutional clients can now submit Indications of Interest (IOIs) through the Binance OTC and Execution Service suite, enabling them to privately signal their interest in block trading and loan transactions.
In this article, we’ll explain what IOI is, how it works, and where it can add value to your trading workflow.
An Indication of Interest (IOI) is a private, non‑binding expression of intent to either 1) buy or sell a specific asset or 2) borrow or lend capital. In traditional finance, IOIs are widely used to help gauge market interest and potential liquidity without making a firm commitment. They are especially valuable for large or sensitive transactions.
On Binance, IOI is divided into two core functions: Spot IOI and Loan IOI. Both operate off‑book and route through our OTC trading desk.
Spot IOI enables traders to express buy or sell interest for a specific asset at a targeted price level. By submitting a Spot IOI, you are communicating your intent directly to our OTC trading desk, which will actively work to match your order with a counterparty through the industry’s largest network of liquidity providers.
Integrated with Binance’s Fixed Rate Loan infrastructure, the Loan IOI function provides a discreet channel for users to signal borrowing or lending interest. Specify custom loan terms, and our OTC trading desk will then match you with suitable counterparties. The terms of any Fixed Rate Loan will be governed by a separate agreement.
Located on the IOI product page, the order blotter provides a clear overview of all active and completed IOI orders, enhancing tracking, reporting, and communication within user teams and the Binance OTC desk.
A block trader buying large amounts of a mid-cap altcoin risks moving the price by placing a public order, as others may react, repost quotes, and push the price away from the intended levels.
An IOI lets traders discreetly signal interest to potential counterparties, via the Binance OTC Desk, without exposing information to the broader market. For Binance VIP clients, IOI information is visible only to our matching engine and relevant internal teams, minimizing slippage and avoiding unwanted attention. You set the parameters, and the IOI system routes your interest; if there’s no match, your intent remains invisible and off-book.
An IOI promptly indicates whether there are willing buyers or sellers at your desired price and size. Identifying an interested counterparty enables you to pursue better pricing with confidence, knowing there is sufficient liquidity and genuine interest. If no response is received, you can quickly reassess your strategy—saving time and minimizing market impact.
IOIs act as an initial point of contact, enabling you to review terms, size, and price ranges discreetly. This privacy is especially valuable for relatively illiquid assets, giving you time to gather and compare potential offers.
If a trade isn’t favorable, you can pause and revisit it later for a better match rather than proceeding blindly. Alternatively, you can keep the IOI active, allowing improved counterparty offers to emerge. Binance’s advanced matching system then identifies the best available offer, providing a custom price quote optimized to your strategy.
High-net-worth and institutional participants often face capital allocation inefficiencies, commonly due to inactive capital sitting idle or insufficient liquidity to scale operations. Loan IOI addresses these challenges by offering customizable loan amounts, rates, and durations tailored to your specific needs.
Registering your first Indication of Interest on Binance is simple and intuitive. Here’s how it works:
1) Access the IOI platform: Navigate to the Binance OTC & Execution Services product page via your VIP Portal or mobile app, then select the ‘IOI’ tab
2) Choose Spot IOI or Loan IOI: Select the product that best aligns with your trading strategy and capital allocation goals. You can indicate buy or sell interests for Spot IOI, or supply or borrow interests for Loan IOI.
3) Set Your Custom Parameters and Register Your Interest: Each function requires you to input specific parameters. Customize your interest to fit your needs, review the details carefully, then click submit.
4) Track Your Registrations: The IOI blotter allows you to track both open and completed interest registrations in one place, streamlining position management.
Built for institutional traders, IOI provides a secure and discreet channel to assess market interest before executing large trades.
By adopting proven tools and standards from traditional finance (TradFi), we are building a comprehensive suite of execution services that play a vital role in onboarding the next generation of institutional investors to crypto. This launch underscores Binance’s commitment to continuously elevating the institutional crypto experience.
To learn more about IOI or our full service suite, contact the Binance OTC & Execution Services team for eligibility details and a comprehensive overview.
