Configure Pair Parameters
When creating a new market, you are asked to provide certain parameters before creating the market. These parameters are used in the orderbook to specify certain attributes and restrictions in the orderbook.
Min/Max Price: You will want to have a certain range where the price can fluctuate to prevent price manipulation. You have the option to use min and max price to set that range. Min simply refers to the minimum price user can place an order and max refers to the maximum price user can place an order. Please keep in mind that you are not allowed to place an order exactly on the min and max.
Min/Max Size: Just like how you set min and max price to have an accepted price range in your orderbook, you could do the same for order size. A minimum accepted amount and maximum accepted amount for the orderbook. You will want to have a minimum set to prevent 'dust' orders. These small orders can cause issues and make your exchange slow. Max is also useful when you want to prevent very large orders from being placed at once.
Increments: There are two increments in an orderbook. One is used for price and the other is used for size. Price increment simply refers to each price level you can create in the orderbook. Let's say the price increment is set to 0.001. Now that means prices with 4 decimal points such as 1.0001 will be rejected. You could only make price increments of 0.001 or a multiple of 0.001. For example:
1.001 -> ✅
0.1 -> ✅
0.1001 -> ❌
5.0005 -> ❌
A general rule in setting increments for the price would be to set it as 0.1% of the actual price (this price is based on the quote asset). The same goes for increment size which is used to adjust size increments. This is very important to set correctly to avoid dealing with many decimal points that could be confusing for traders.
Circuit Breaker: This is a relatively new feature introduced in HollaEx 2.1 where users can turn on this mode to prevent large price fluctuations. In certain markets, you do not want to have an immediate price drop/rise (say 20%) very quickly. Turning this feature on would help prevent these price changes over short periods of time. The Circuit breaker has smart logic and simply having it on would make sure to avoid large price fluctuations. In case you are dealing with a market with large price fluctuations, it is better to have this feature off, otherwise, it would cause many halts in trading, resulting in a bad experience.