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Binance Announces New Price Execution Guardrails

The crypto exchange will implement its "Spot Price Range Execution Rule" beginning April 14.
Binance Announces New Price Execution Guardrails
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Binance Binance is adding guardrails to its crypto trading. Announced today, the new rules will cap how far prices can deviate during execution, aiming to curb chaos without killing liquidity.

What's the Scoop?

  • Price Bands: Binance is rolling out a Spot Price Range Execution Rule (PRER) on April 14 that will restrict trades from executing outside a dynamic price band during extreme volatility. The exchange-level market protection mechanism will be applied during the order matching process, and is similar to the Limit Up/Limit Down bands of traditional financial markets.
  • Automated Order Cancels: Any order types that act as liquidity takers with an execution price outside of the specified price range will immediately expire, preventing executions when prices deviate significantly due to "abnormal" activity. Under normal market conditions, this mechanism should not affect transactions.


Jack Inabinet

Written by Jack Inabinet

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Jack Inabinet is a Senior Analyst with a passion for exploring the bleeding edge of crypto and finance. Prior to joining Bankless, Jack worked as an analyst at HAL Real Estate where he conducted market research and financial analysis for commercial real estate development and acquisition activities in the Seattle region. He graduated from the University of Washington’s Michael G. Foster School of Business.

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