Self-Trade Prevention (STP) is a mechanism used by trading platforms to prevent users’ orders from matching with themselves. This feature helps to reduce unnecessary trading fees resulting from self-trades and prevents traders from artificially inflating trading volumes, ensuring fairness and transparency in the market.
How Does the STP Mechanism Work?
The STP mechanism detects orders from the same user (same UID) or their sub-accounts and prevents these orders from matching with each other. On the BitTap platform, STP applies not only to the main account but also between parent and sub-accounts, and even between sub-accounts themselves. This ensures that a user’s various orders do not unintentionally match with each other.
How Does the System Respond When STP is Triggered?
When orders trigger the STP mechanism, the platform may take the following actions depending on the mode:
1. None Mode: Orders are not affected by the STP mechanism. The system does not detect the UID, and the trades are executed as normal.
2. Cancel-Taker Mode: If a self-trade occurs, the taker order is canceled, but the maker order remains active.
3. Cancel-Maker Mode: If a self-trade occurs, the maker order is canceled, but the taker order remains active.
4. Cancel-Both Mode: If a self-trade occurs, both the taker and maker orders are canceled by the system.
STP Mode Configuration
When placing or bulk placing orders, users can set the STP mode via parameters. On the BitTap platform, STP can be utilized in spot trading, contract trading (including USDT-margined contracts, USDC contracts, and coin-margined contracts), and margin trading (cross-margin and isolated margin).
Supported Order Types for STP
The STP mechanism is applicable to orders with the “Time In Force” (TIF) setting of GTC (Good ’Til Canceled) or IOC (Immediate Or Cancel), including the following order types:
- Limit Orders
- Market Orders
- Conditional Orders
- Take-Profit and Stop-Loss Orders
Please note that STP is not available for orders set with the FOK (Fill Or Kill) execution strategy.
Can the STP Settings Be Modified on Orders?
Modifications to orders do not support changes to STP settings. When an order is modified, the original STP mode is inherited by the new modified order and cannot be changed.
Through the STP mechanism, BitTap provides users with a more transparent and compliant trading environment, ensuring fair market operations while reducing the costs and risks associated with self-trades.
