A continuous auction is a market mechanism where bids and offers are submitted and matched continuously throughout the trading day. This system allows for constant price discovery and immediate execution of trades. It contrasts with batch auctions or call auctions that process orders at specific times.
Context
Many decentralized exchanges (DEXs) operate under principles similar to continuous auctions, facilitating constant trading of digital assets. The efficiency and fairness of these continuous matching engines are paramount for liquidity and user experience. Discussions often revolve around mitigating issues like front-running and ensuring transparent price formation in these dynamic trading environments.
A game-theoretic model formalizes MEV-Boost auctions, demonstrating how latency and strategic bidding, not maximal value, drive block selection, quantifying auction inefficiency.
We use cookies to personalize content and marketing, and to analyze our traffic. This helps us maintain the quality of our free resources. manage your preferences below.
Detailed Cookie Preferences
This helps support our free resources through personalized marketing efforts and promotions.
Analytics cookies help us understand how visitors interact with our website, improving user experience and website performance.
Personalization cookies enable us to customize the content and features of our site based on your interactions, offering a more tailored experience.
