Murali Thakur

@murali764

Crypto Trading Interfaces: Time for a Makeover

The complexity of a system and the functionality offered by the interface to access said system go hand in hand. Retro games like Mario or Dave had at max 4 or 5 types of moves for the entire game-play; RPGs today use controllers that help navigate their respective ‘game worlds’ through an array of basic, advanced and special moves along with various customization capabilities for both the character and the setting of the game world.

Not unlike games, trading platforms have also evolved as trading moved from trading floors to electronic trading exchanges. In traditional markets, the shift towards technology shaping the trading methods and sensibilities manifested itself in the most tangible form with trading interfaces. Traders today utilize multi-monitor setups to engage in semi-automated trading strategies to execute highly customized orders for variable financial instruments. This transformation did not happen overnight; it took decades of evolution, both in terms of the markets and the needs of its participants.

The Crypto Trading landscape is still in its infancy compared to traditional markets. Thus, it has the advantage of being able to capatalize on the merits of the already established and far mature traditional market. What traditional markets had to learn in hindsight, the Crypto market can borrow from legacy trading systems. There is an ongoing shift towards more diversified trading instruments for cryptocurrencies, albeit in fits and starts at the moment. Several exchanges have come out with Futures contracts, options and swaps for select cryptocurrencies and many exchanges are in the works to introduce products like ETFs and spreads in the coming months. In the absence of a consolidated ecosystem offering different kinds of financial instruments for cryptos all in one place, it is natural that the market demands in time will give rise to a player that will emerge as a one-stop-solution proffering multiple and varied crypto products. This brings into question the current state of crypto trading platforms.

Trading interfaces like any other platform interface should reflect the core principles of interface design: structure, simplicity, visibility, feedback, tolerance and reuse. With the introduction of diversified crypto products, the functionalities required to trade them seamlessly will also increase and current exchange interfaces are not equipped to handle the upcoming transition. There is an imminent need for a change in approach towards interface design for crypto trading platforms.

Desktop Application for Trading

A desktop application with a ‘point-and-click’ Ladder based trading interface will be most suitable for a derivatives crypto trading market. Features of desktop trading application:

  • Desktop applications are installed on the system and thus provide more security while accessing the exchange as compared to an in-browser set-up.
  • Although it may seem by introducing some degree of complexity, the principle of simplicity is being violated, experienced traders benefit from the increased functionalities and the freedom they bring.
  • Desktop applications provide ladder trading with bids and asks neatly displayed along the price action. More metrics like best bid and offer, last trades’ price and quantity, total traded volume at each price, high and low market points of the day and depth of market orders can be added so as to have a high degree of awareness while trading.
  • Multi-monitor set-ups are feasible with Desktop apps allowing for a highly customizable and deft arrangement of the various data metrics to maintain sanity in visualization.
  • A very high degree of control in terms of both the appearance and the functionality of the trading workspace becomes possible, with the trader being able to customize what appears and effectuates on the screen and what does not.
  • Order execution-submission, modification and cancellation-can be done with merely pointing and clicking, allowing for quick and accurate trades, especially in a fluctuating market.
  • Desktop applications also have lower latency as compared to web and mobile applications, which further supports quick and accurate order execution.
  • Most importantly, the advanced controls and visualization & analytics tools allow for semi-automation of trades, allowing for robust strategies to be put in effect. Moreover, this is achievable without needing any background in coding since functionalities can be implemented via a drag and drop mechanism that is easy to learn.
  • Desktop applications may appear overwhelming to new users, but in the long run are better for the overall trading experience. In-built Simulators can guide and aid neophytes to master the art of trading, effectively elevating not just skills but also general market sense.

A makeover of the crypto trading interfaces as present today will make crypto trading more accessible and inclusive for all types and styles of traders. Moreover, traditional traders and institutional investors will be attracted to join the crypto landscape in light of diversified instruments that can be traded using a robust, high-performance & highly customizable interface.

IDAP Desktop App ( Ref. - www.idap.io )

The Desktop Trading Application idap.io is bringing to the market is in harmony with the needs of the crypto landscape as pointed out above. With its introduction, we hope to raise the bar for what is considered as the norm for good trading interfaces.

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