Order Book
DeFi
List of buy and sell orders organized by price levels.
An order book lists current bids and asks. Trades occur when orders cross. Depth and spread affect execution quality.
Frequently asked questions
How do spreads affect trading?
Wider spreads increase costs for market orders. Maker orders can improve price but may not fill.What is depth of book?
The quantity available at each price level. More depth means better fills for large orders.Do DEXes have order books?
Some do on chain or off chain. Many use AMMs instead of order books.