Is Blockchain-level Simple Market Making Bot Feasible?

[JonnyB]

I think it would be dead simple to add something like this, native to a client. 

Have it track a feed and you set a percentage offset for Bid and Ask.  Cancel and replace after some %change.

just designate some portion of your balance and hit go.

It could get lots more complicated obviously, but for this basic function what else would you need?

I may release a bot that does this from the API, but there's no reason it couldnt be added natively.  Sounds like a good FBA candidate perhaps.  Its a roundabout way of doing relative orders essentially.

Please do

[Xeldal]

I think it would be dead simple to add something like this, native to a client. 

Have it track a feed and you set a percentage offset for Bid and Ask.  Cancel and replace after some %change.

just designate some portion of your balance and hit go.

It could get lots more complicated obviously, but for this basic function what else would you need?

I may release a bot that does this from the API, but there's no reason it couldnt be added natively.  Sounds like a good FBA candidate perhaps.  Its a roundabout way of doing relative orders essentially. 

[clayop]

As someone suggested, simple market making bot at blockchain level would increase liquidity a lot. For example, one can make market at BTC:OPENBTC with less risks. The MM bot can read information on blockchain(e.g. feed price, highest bid, lowest ask), calculate some conditions (e.g. ratio of CNY/KRW feed), tolerance, update interval, etc.
If it is not feasible right now, we may need an easy-to-use MM program (.exe or .dmg or python script)

Now I only have rough ideas. Your thoughts?

We're planning to run market-making bots on the bitshares exchange. Mostly it is a matter of adding an interface to the market api for graphene, so it shouldn't take too long. We plan to start the work some time this week.

Is it open for everyone under their own risk?

[dannotestein]

As someone suggested, simple market making bot at blockchain level would increase liquidity a lot. For example, one can make market at BTC:OPENBTC with less risks. The MM bot can read information on blockchain(e.g. feed price, highest bid, lowest ask), calculate some conditions (e.g. ratio of CNY/KRW feed), tolerance, update interval, etc.
If it is not feasible right now, we may need an easy-to-use MM program (.exe or .dmg or python script)

Now I only have rough ideas. Your thoughts?

We're planning to run market-making bots on the bitshares exchange. Mostly it is a matter of adding an interface to the market api for graphene, so it shouldn't take too long. We plan to start the work some time this week.

[clayop]

As someone suggested, simple market making bot at blockchain level would increase liquidity a lot. For example, one can make market at BTC:OPENBTC with less risks. The MM bot can read information on blockchain(e.g. feed price, highest bid, lowest ask), calculate some conditions (e.g. ratio of CNY/KRW feed), tolerance, update interval, etc.
If it is not feasible right now, we may need an easy-to-use MM program (.exe or .dmg or python script)

Now I only have rough ideas. Your thoughts?