About Dex Algorithmic Trading
Programmatic trading, also known as algorithmic trading, refers to the use of Smart Contracts to automate token strategies and take advantage of market opportunities. Executed onchain, the rules, and conditions of the trading algorithm cannot be altered. This provides a level of trust and assurance that the trades will be executed as intended. Smart Contracts are computer programs published and executed in a blockchain environment. They are an essential component of decentralized finance (DeFi) activities, such as token-swapping. A Decentralized Exchange is a platform that allows users to trade cryptocurrencies or other assets directly with one another, based on liquidity pools, they allow users to lock their tokens, in order to provide liquidity for trading. These pieces of self-executing code are an essential part of any token/Dapp ecosystem, as they provide proven liquidity and scalability. The performance of a project token is closely tied to its performance in those Decentralized protocols, as it depends on liquidity usage. It is important for token managers to carefully automate their usage to ensure their success. The Modules referred to in this wiki are dedicated Dapps where trading logic is deployed. They connect privately and securely to the blockchain and compile the logic of each transaction or limit its variables. They are the base of The Dexer infrastructure to enable the use of programmatic trades on top of other popular DeFi/Dex protocols.
Automate trading activities: maintain a healthy trading volume, concentrate liquidity, or improve other market metrics explained in this documentation.
Project Dapps: custom transactions linked to project Dapps. Web3 projects can test that their token's Dapp is functioning fluently, which is essential for a potential investor lookup.
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