1. What are Algo Orders and what are its benefits?
Algorithmic (Algo) Orders are intelligent orders that facilitate the execution of large or illiquid trades over a period of time in smaller blocks. They optimize execution based on your selected parameters to reduce execution costs and mitigate market impact.
2. Who can use Algo Orders?
Verified Binance users can place Algo Orders on the Algo Orders platform.
3. Are there any fees for using Algo Orders?
Fees charged may vary depending on the algorithmic strategies selected and the fee rate will be displayed prior to submitting an order. For algo orders submitted on UI or API, fees shall be charged the same way exchange fees are charged in the asset bought, at the respective fee rate displayed.
4. What are the minimum and maximum order sizes?
The minimum size for Algo Orders is USD $100 or equivalent. The maximum size varies from 1,000,000 to 5,000,000 USD. For smaller trade sizes, you may get a live quote on Binance Convert or trade via the Convert OTC API with no minimum size.
To trade via the Convert OTC API, please refer to the documentation here.
5. What happens if my account balance is insufficient when placing an Algo Order?
Your order will expire or only be partially filled if your account balance is insufficient to cover the order amount and trading fees (if any). Please make sure you have sufficient funds in your Binance wallet before placing an order.
For example, you submit an order to buy 100 BTC using the BTC/USDT pair when the market price is 20,000 USDT. You’ll need to have at least 2,000,000 USDT and trading fees (taking the maximum fee value in the maker-taker fee range as an example) in your Binance wallet. If the market price increases during order execution and your balance is insufficient, your order will expire and can only be partially filled.
6. Why did my order expire?
Your order will expire if, at any time during order execution, your wallet balance is insufficient for the order to continue. Partially-filled orders will be settled based on the amount that has been purchased or sold.
7. I canceled my order. What will happen to the partially-filled order?
If you cancel an unfilled order, no action will take place. If you cancel an order that is partially filled, the order will be settled based on the amount that has already been executed.
8. What is the limit price?
The limit price is a ceiling price for a buy order and a floor price for a sell order.
- Buy order: Your order will be paused once the market price exceeds your limit price.
- Sell order: Your order will be paused once the market price falls below your limit price.
Your order will resume once the market price moves within your limit price.
9. Is there a minimum or maximum limit price?
- Buy orders: The minimum limit price is 20% below the current market price.
- Sell orders: The maximum limit price is 20% above the current market price.
10. How do Algo Orders settle and how long does it take?
Orders are directly settled to the Binance wallet you used to submit the order. Typically, settlement takes place immediately after your trade.
11. What trading pairs and assets are supported?
Algo Orders supports most pairs listed in Binance, including ADA, ATOM, AVAX, BNB, BTC, DAI, DOGE, ETH, LINK, LTC, MATIC, SHIB, SOL, TRX, UNI, and XRP. You may find the list of supported pairs in the selection dropdown before submitting your order.
12. Are Algo Orders included in the Spot trading volume calculation for the VIP Program?
Yes, trading volume executed via Algo Orders is included in the Spot trading volume calculation. Please note that it may take up to 5 days for the trading volume to be reflected in the calculation.
13. What is the Time-Weighted Average Price (TWAP)?
The Time-Weighted Average Price (TWAP) is a time-based algo order strategy that spreads a large trade execution over time in smaller quantities while referencing the time-weighted average price.
For more details, please visit What are Algorithmic Orders? TWAP and POV Strategies Explained.
14. What is the minimum and maximum duration for a TWAP order?
The minimum duration is 1 minute and the maximum duration is 3 days (72 hours).
TWAP orders also have a maximum order execution rate, designed as a protection mechanism to prevent accidental execution of large volumes over a short period.
This rate varies dynamically for each coin. If you encounter the following error message: “Please increase the time allocated for your TWAP order”, please specify a longer duration or reduce the order amount.
15. I encountered the message "Please increase the time allocated for your TWAP order". What is the minimum time duration for my order amount?
TWAP orders have a maximum order execution rate, designed to prevent accidental execution of large volumes over a short period.
This rate varies dynamically for each coin. If you encounter the following error message: “Please increase the time allocated for your TWAP order”, please specify a longer duration or reduce the order amount.
16. What is Percentage of Volume (POV)?
Percentage-of-Volume (POV) aims to optimize trade execution alongside market liquidity. It adapts its execution rate to changing market activity at a target percentage of volume participation rate to maintain a desired volume participation percentage.
For more details, please visit What are Algorithmic Orders? TWAP and POV Strategies Explained.
17. What is the urgency profile and which one should I choose?
Urgency profile specifies the target percentage of market volume that the Algo Order will try to achieve. The higher the urgency, the shorter the execution time and the higher the market participation. Higher market participation may result in increased market impact for your trade.
18. What legal terms apply to Algo Orders?
When you trade with Binance, you are subject to the Binance Terms of Use and the Binance OTC Terms. You may be subject to localized versions of these terms when onboarding to local Binance entities. You may also be required to accept additional terms and conditions depending on the scope of services offered. Should you have any questions, please contact Binance Support.
19. How can I contact the Binance OTC Desk?
You may contact us regarding Binance OTC Trading or Algo Orders at trading@binance.com.
20. What is the Algo trading fee for an Algo Order?
The Algo trading fee is an execution fee charged for using the Algo trading product. The fee varies based on the trading pairs. The fee rate is shown when the user places the Algo trading order. The Algo trading fees are always charged in the assets you receive.
To learn more about Algo Orders on Binance, visit the Spot Algo Orders FAQs page.