Using RFQs for Large Cryptocurrency Trades on OKX
Summary
This tutorial explains how to create and execute a basic block trade through OKX’s Liquid Marketplace. Eligible users build a request for quote (RFQ) by selecting an asset and instrument, choosing a buy or sell side, entering quantity, and selecting counterparties. The platform sends the RFQ to chosen counterparties, whose quotes appear on an RFQ board; the user can review and confirm a quote before execution. The guide says RFQs and quotes expire after two minutes and allows anonymous submission.
The method is intended for larger orders where trading through the public order book could create slippage or reveal trading intent. The article says block trades execute away from the order book, but gives no measured comparison of execution quality, fees, liquidity, or fill rates. Access requires Level 2 verification and an account balance of at least $100,000 equivalent, according to the guide. It introduces single-leg trades and notes that multiple legs can be added, without detailing those strategies.
Key ideas
- Block trading uses RFQs to solicit quotes from selected counterparties for a large cryptocurrency order.
- The user selects an asset, instrument, side, quantity, and counterparties before sending an RFQ.
- Quotes are shown on an RFQ board and remain available for a limited period before expiring.
- Execution away from the order book may reduce market impact and limit disclosure of trading intent.
- The guide does not quantify execution quality, fees, liquidity, or fill rates.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.