Definition ∞ An automated trading system executes buy and sell orders in financial markets based on pre-programmed rules and algorithms, without direct human intervention for each trade. These systems utilize computational logic to identify trading opportunities and manage positions. They operate across various asset classes, including cryptocurrencies, aiming to capitalize on market inefficiencies or specific price movements.
Context ∞ In the crypto domain, automated trading systems are extensively discussed concerning their impact on market liquidity, price discovery, and volatility. Their increasing prevalence raises questions about market manipulation, fairness, and the potential for rapid, cascading market events. A key development involves regulatory bodies establishing clear guidelines for algorithmic trading to ensure market integrity and investor protection.
Blockchain Knowledge
Cryptocurrency Foundation
Cryptospace Newsfeed
