Hi,
Would it be possible for binance to create a simple market making bot that interacts with the futures testnet? Maybe just replicate the top level of the order book from real trading? I think that would really help people with testing their trading strategies.
Do you think that is feasible?
Thank you,
Robert
The testnet spot market also needs liquidity. I’m looking at:
https://testnet.binance.vision/api/v1/depth?symbol=BTCUSDT&limit=1000
and it has no bids, and only 3 asks. I can’t even build a book from this!
Don’t have such plan in the near future. We do our best to provide APIs so users can develop trading strategy
I have coded up a simple market making algo yesterday and tried it out on a few illiquid testnet markets. The problem is that the testnet order book has large orders sitting around, some of which are far away from the top of the real order book. So, if one tries to provide liquidity according to the real order book, one quickly builds up a large inventory that uses up the funds of a regular testnet account (100k USDT). Often, the order book size at the bid or ask is zero so that one even cannot unload the inventory.
I think it would be rather easy to mirror the real order book (at least the top of the book) on testnet. However, one would need a very large testnet account, so that a large inventory does not matter.
Hi Dino, Thx for your reply. Yes, BTCUSDT and (I think) ETHUSDT are quite OK. But everything else is pretty dry. Currently, testnet is nice to try out basic stuff about the API and I guess binance’s intention with testnet was just to provide that basic test functionality. What I am asking/proposing is an extension so that it can also be used for simple paper trading (across different futures). I don’t think this would need a lot of work and would significantly extend the usability of testnet. Like I have said, I have already something simple coded up. If binance were to provide me with a testnet account with really large funding, I could let the market making bot run for a bit and you guys could look at it whether you like it (you can also have my code if you want).
It is a recurring topic in this forum with no good answer so far. Thing is, without a decent order book, it makes end-to-end testing impossible.
Seems to me the suggested solution (basically, a dedicated testnet account with unlimited funds that would mimic part of the live order book) would