Just In: CZ’s Exchange, Binance Integrates STP Feature Via API for Spot Trading

Binance, the world’s largest crypto exchange by trading volume, will launch a new Self-Trade Prevention (STP) function for API users on January 26, 2023. The function is designed to prevent users from accidentally trading with themselves, which is a form of market manipulation.

The STP function will block the execution of orders that would result in a self-trade. This means that users will no longer be able to place orders that would trade their own cryptocurrency back and forth. This will help to prevent users from artificially inflating or deflating the price of a cryptocurrency.

The STP function is optional, and users can choose to disable it if they wish. However, Binance recommends that all API users enable the function to help protect themselves from market manipulation.

In addition to preventing self-trading, the STP function can also help to save users money on fees. When a user places an order that is subsequently cancelled, Binance charges a fee. However, if the STP function prevents the order from being executed in the first place, the user will not be charged a fee.

The STP function is a valuable tool for API users who want to protect themselves from market manipulation and save money on fees. Binance is the first major crypto exchange to offer this feature, and it is a welcome addition to the platform.