#bstockscis BINANCE HAS CONNECTED BOTS TO TEN NEW bSTOCKS. WHAT DOESN'T THE BOT KNOW HOW TO DO?
Along with the listing $ALABB , $ASMLB , $ASTSB , $NFLXB, $SMCIB, and five more bStocks, Binance enabled Spot Algo Trading Bots for these pairs.
It sounds like automation solves the market’s main problem 24/7. But the bot only follows the set rules: it places or repeats orders until the user looks at the screen.
It doesn’t create a buyer or a seller on the other side of the order book. It doesn’t magically narrow the spread. It doesn’t add depth to the pair and it doesn’t guarantee that the bStock price on the weekend will precisely match the next underlying price.
If the market is thin, automation will simply operate within a thin market. And an incorrect rule can cause the bot to repeat steadily and for longer than a person.
So automatic execution and the quality of the market itself are two different things. The bot removes some manual work, but it doesn’t remove market, liquidity, or operational risk.
Is the bot a convenient execution tool—or a separate source of risk? @BinanceCIS #bStocks
Along with the listing $ALABB , $ASMLB , $ASTSB , $NFLXB, $SMCIB, and five more bStocks, Binance enabled Spot Algo Trading Bots for these pairs.
It sounds like automation solves the market’s main problem 24/7. But the bot only follows the set rules: it places or repeats orders until the user looks at the screen.
It doesn’t create a buyer or a seller on the other side of the order book. It doesn’t magically narrow the spread. It doesn’t add depth to the pair and it doesn’t guarantee that the bStock price on the weekend will precisely match the next underlying price.
If the market is thin, automation will simply operate within a thin market. And an incorrect rule can cause the bot to repeat steadily and for longer than a person.
So automatic execution and the quality of the market itself are two different things. The bot removes some manual work, but it doesn’t remove market, liquidity, or operational risk.
Is the bot a convenient execution tool—or a separate source of risk? @BinanceCIS #bStocks