Binance has launched the Alpha 2.0 market maker enhancement program for limit orders, which can be viewed from several aspects:
Core Functions
1. Enhance Market Liquidity
Market makers can increase the buy and sell depth for tokens like ESPORTS and FARTCOIN in the Alpha 2.0 market by providing limit orders, making transactions smoother for ordinary users and reducing slippage.
2. Incentivize Quality Market Makers Participation
By offering a 0.0025% rebate on trading volume, experienced market makers are encouraged to participate in the long term, while a threshold of $100,000 in trading volume is set to filter out participants who can truly add value to the market.
3. Bridge the Experience Between CEX and DEX
Alpha 2.0 is designed to bridge the gap between centralized (CEX) and decentralized (DEX) trading, and the market maker program can provide a more stable trading experience in this market, allowing users to access more assets.
Deeper Significance
1. Enrich Trading Ecosystem
Provide users with more diverse trading scenarios while giving niche tokens more exposure and liquidity support, making assets within the ecosystem more active.
2. Strengthen Platform Competitiveness
With a dedicated market maker program, Binance can establish an advantage in the hybrid trading landscape of "centralized + decentralized," attracting more users and institutions that have a demand for this type of trading.
3. Regulate Market Making Behavior
The terms clearly prohibit malicious volume manipulation, self-buying and selling, etc., which can lead to a healthier market and avoid false liquidity affecting user judgment.
