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How to Become a Market Maker on MEXC?

2023.10.9 MEXC

1. What is a Crypto Market Maker?

  • A crypto market maker refers to a type of participant or institution in the crypto market that provides liquidity and market trading services. They simultaneously quote buying and selling prices, offering two-way trading opportunities for crypto in the market and profit from the spread between buying and selling prices.

  • Acting as intermediaries in the market, crypto market makers play a role in facilitating trades and providing liquidity. Market makers usually participate in multiple exchanges or platforms, simultaneously quoting bids and inquiries in different markets to ensure there is an adequate spread between buying and selling (known as spread), while avoiding excessive price fluctuations.

  • The primary goal of crypto market makers is to gain small profits through frequent trading, rather than relying on significant price fluctuations. They often use algorithmic trading and automated trading systems to execute trades quickly and engage in risk management to minimize potential losses.

  • In addition to providing liquidity, crypto market makers may also engage in other activities such as market making and hedging trades. Market makers need to closely monitor market dynamics, order books, market depth, and adjust quotes based on market conditions to meet market demands.

2. Benefits of Becoming a MEXC Market Maker

2.1 Increased API Rate Limit — Ensuring Smooth High-Frequency Trading

API rate limit increase refers to the number of requests or rate limits allowed within a certain period defined by the Application Programming Interface (API). It dictates the number of requests developers or applications can send to the API within a specific timeframe. API rate limits are designed to manage and restrict API usage, safeguard the stability of API servers, prevent abuse, and ensure fair usage.

2.2 Dedicated Customer Service — Resolving Your Trading Issues 24/7

  • Round-the-clock support: Meeting users' needs in different time zones and at various times.

  • Swift responses and issue resolution: Dedicated customer service is always ready to respond promptly to user inquiries, requests, or problems and provide corresponding solutions as quickly as possible.

  • Personalized service: Building trust and relationships, customizing solutions for users, and offering appropriate advice and support based on user feedback and preferences.

  • High-quality customer experience: Users can receive timely assistance and guidance, reducing uncertainty and anxiety.

2.3 Increased Withdrawal Limits — Trade Across Platforms Without Worries

When withdrawal limits are increased, users can transfer larger amounts of crypto in a single or multiple withdrawals to other addresses or accounts. This allows users to conveniently manage and circulate their digital assets.

2.4 Interest-Free Loans — Enhancing Capital Utilization

Interest-free crypto loans refer to loan services provided to borrowers using specific crypto as collateral, where borrowers do not need to pay interest during the loan period. Costs usually only include processing fees or collateral fees. This saves borrowers loan costs and provides a relatively inexpensive way to borrow.

2.5 Special Interfaces — Priority Deployment of API v3 Interface for Faster Trading

API v3 is typically an updated and upgraded version of the API that software developers release to provide more efficient, stable, and powerful features. API v3 often optimizes underlying structures and algorithms to enhance performance and stability. This may include improving response times, reducing latency, increasing throughput, making the API more efficient and reliable when handling requests and interactions.

3. Spot Market Maker Application Criteria

3.1 Level: P1

Application Criteria (Both conditions must be met simultaneously)

  • Recent 30-day trading volume ≥ 1,000 BTC or negative maker fee rate.

  • Assets in MEXC spot account are equivalent to more than 200,000 USDT.

3.2 Level: P2

Application Criteria (Meet any one of the conditions)

  • 800 BTC ≤ Recent 30-day trading Volume < 1,000 BTC.

  • Assets in MEXC spot account are more than 200,000 USDT.

  • A market maker with 0 fee rate on other exchanges.

4. Market Maker Application

Please fill out the application form, and MEXC will get in touch with you.

5. Closing Remarks

  • In summary, crypto market makers provide liquidity and market trading services in the crypto market by simultaneously quoting buying and selling prices, offering trading opportunities to market participants. Market makers profit from frequent trading and the price spread, utilizing algorithmic trading and automated systems for efficient execution and risk management.

  • It is important to note that crypto market makers face certain risks and challenges. Due to the high volatility and liquidity constraints in the crypto market, prices can change rapidly, increasing trading risks. Additionally, factors such as regulatory environments can also impact the profitability of crypto market makers.

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