What are the advantages of using websockets vs api in the cryptocurrency industry?

Can you explain the benefits of utilizing websockets compared to APIs in the cryptocurrency industry? How do they differ in terms of performance, real-time data updates, and overall user experience?

1 answers
- In the cryptocurrency industry, websockets offer distinct advantages over APIs. Websockets provide real-time data updates, allowing traders to receive instant information on price changes, order book updates, and trade executions. This real-time data flow enables traders to react quickly to market movements and make timely trading decisions. Additionally, websockets have lower latency compared to APIs, as they establish a persistent connection between the client and the server. This eliminates the need for repeated requests and reduces the delay in receiving data. Moreover, websockets support bi-directional communication, enabling traders to not only receive data but also send commands and execute trades directly through the websocket connection. This enhances the overall user experience by providing a more interactive and responsive trading environment.
Mar 21, 2022 · 3 years ago
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