[Bitcoin] Taker and Maker and underlying assets and quoted assets
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1. Taker and Maker
Many people will trade using limit prices because of the fees, and you may have heard the terms taker and maker.
Let’s find out what these two terms are.
Taker means someone who takes advantage of the trade and executes it immediately before it goes up to the bid window. It plays a role in deducting the trading volume of makers and actually generates transactions. Maker means one who creates. After posting the desired price on the bid book, the Taker enters into the price.
When the Maker sets the price, the Taker actually executes the contract, and the market price is formed through the combination of the two. To summarize, takers are orders placed immediately at the current price, and makers are orders placed on the quotation window at a price higher or lower than the current price.
If you execute immediately at the market price, you are a taker. If I immediately trade at the current price through a limit price, would I be a taker? Could it be Maker? The answer is Taker. This is because the order was filled immediately without being placed on the order book.
https://www.binance.com/en/support/faq/what-are-market-makers-and-takers-360007720071
2. Underlying assets and estimated assets
If you retrieve candle information from Binance with get_klines, you can find trading volume information. We know volume, but there are three other things. What is this information?
- quote asset volume
- Taker buy base asset volume
- Taker buy quote asset volume
The base asset is the underlying asset and the quote asset is the quote asset. For example, let’s say one apple costs 1,000 won. Apples are then the underlying asset and cash is the quoted asset. The more expensive an apple is, the more valuable it is. In other words, the larger the quoted asset, the higher the value of the underlying asset. We usually buy and sell apples with cash, but let's change our perspective and approach it from the perspective of "buying apples with cash." Then you can understand that.
For BTC/ETH trading, you can buy Ethereum with Bitcoin and Bitcoin with Ethereum. Then the meaning of the terms is as follows.
take buy base asset volume = Underlying asset purchase volume
taker buy quote asset volume = Quote asset purchase volume
quote asset volume = Quote Asset Total Trading Volume
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https://accounts.binance.com/register?ref=21391362 <- Get Discount on Binance Futures Fees With Referral Code
Referral Code : 21391362
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