What are the potential risks or drawbacks of using taker orders instead of maker orders in the digital currency market?

3 answers

• Jan 14, 2022 · 3 years ago
  Using taker orders instead of maker orders in the digital currency market can expose traders to higher fees. Taker orders typically incur higher fees compared to maker orders, which can eat into the profits of frequent traders. It's important for traders to consider the impact of these fees on their overall trading strategy and profitability.
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• Jan 14, 2022 · 3 years ago
  One potential drawback of using taker orders in the digital currency market is the increased risk of slippage. Taker orders are executed immediately at the current market price, which means that the price at which the order is filled may be different from the expected price. This can result in a higher cost for buying or selling digital currencies, especially during periods of high volatility.
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• Jan 14, 2022 · 3 years ago
  From BYDFi's perspective, using taker orders instead of maker orders can provide traders with faster execution and liquidity. However, it's important for traders to carefully consider the potential risks associated with taker orders, such as higher fees and slippage. Traders should evaluate their trading strategies and goals to determine whether taker orders align with their objectives.
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