Batch Auctions

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Batch Auctions

Both traditional and cryptocurrency markets frequently use batch auctions as a trading strategy. A batch of individual orders is put together and processed all at once. Each order in a batch receives the same clearing price. Trading in batch auctions aids in ensuring honest price determination.

In blockchain-based marketplaces, batch auctions are used to avoid the maximum extractable value (MEV) while handling ICOs, liquidations, or buybacks of illiquid assets. MEVs may have an impact on the transaction’s extra fees. Using batch auctions thereby lessens the vulnerability to MEV

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