XBase Market Making
Liquidity management and automated quoting infrastructure
Automated market making with dynamic spreads, inventory management, risk limits and multi-market strategies.
- 01Data collectorConnects to market data and reference price sources and normalises them.
- 02Strategy coreSpread, size and skew computation; parameter sets are versioned.
- 03Risk controllerEnforces limits each cycle; kill switch.
- 04Execution layerOrder placement and status tracking through exchange adapters.
- 05AnalyticsDecision log and performance metrics.
Product Overview
Market Making Engine
What it is
XBase Market Making is a strategy engine that provides liquidity by continuously quoting bids and asks across one or more markets while managing inventory and risk automatically.
The problem it solves
The hardest part of a new market is initial liquidity: an empty order book drives users away, while uncontrolled quoting creates inventory risk and losses. The engine continuously adjusts spread and size to market conditions, inventory position and defined risk limits.
Who it is for
Built for exchanges that want to provide liquidity in their own markets, liquidity providers and token issuers.
Core Features
Core Features
Dynamic Spread
A spread that adapts to volatility, depth and inventory state.
Inventory Management
Rebalancing around a target position; quotes skew automatically as deviation grows.
Multi-Market Strategy
Coordinated quoting for the same asset across markets with reference price tracking.
Risk Limits
Maximum position, daily loss, order size and price deviation limits; automatic halt on breach.
Automated Quoting
Quotes refresh continuously; orders are cancelled safely on connection loss.
Exchange API Integration
Native with XBase Exchange; an adapter layer for external venues.
Performance Monitoring
Dashboards for realised spread, fill ratio, inventory and P&L.
Strategy Management
Parameters can be updated live; changes are written to the audit log.
Modules
- Dynamic Spread
- Inventory Management
- Multi-Market Strategy
- Risk Limits
- Automated Quoting
- Exchange API Integration
- Performance Monitoring
- Strategy Management
How It Works
How It Works
- 01
Market data
Reference prices and order book data are collected with low latency.
- 02
Pricing
The strategy computes spread and size around the mid price from inventory and risk parameters.
- 03
Quoting
Bid and ask orders are placed; existing orders are replaced or cancelled as needed.
- 04
Fills and inventory update
Fills update the inventory position; the next quote skews accordingly.
- 05
Risk check
Limits are checked every cycle; on breach the strategy halts and orders are pulled.
Architecture
Architecture
The engine separates data collection, strategy computation and order execution. The strategy loop is deterministic and every decision is recorded with its inputs, which makes back-analysis and parameter tuning possible.
- 01Data collectorConnects to market data and reference price sources and normalises them.
- 02Strategy coreSpread, size and skew computation; parameter sets are versioned.
- 03Risk controllerEnforces limits each cycle; kill switch.
- 04Execution layerOrder placement and status tracking through exchange adapters.
- 05AnalyticsDecision log and performance metrics.
- 01
Data collector
Connects to market data and reference price sources and normalises them.
- 02
Strategy core
Spread, size and skew computation; parameter sets are versioned.
- 03
Risk controller
Enforces limits each cycle; kill switch.
- 04
Execution layer
Order placement and status tracking through exchange adapters.
- 05
Analytics
Decision log and performance metrics.
Technologies
- TypeScript
- Go
- PostgreSQL
- Redis
- Kubernetes
Integration
Integration
REST API
Versioned, documented endpoints.
WebSocket
Real-time data streams.
Security
Security
Access control
Strategy parameters and halt authority are role-based.
Key management
Exchange API keys are stored encrypted; keys without withdrawal permission are used.
Audit logging
Parameter changes and strategy start/stop events are recorded.
Monitoring
Alerts for connectivity, latency and limit proximity.
Use Cases
Use Cases
New market launch
An orderly order book from day one for a newly listed asset.
In-house exchange liquidity
An exchange quoting its own markets.
Token issuer liquidity
Issuers providing secondary-market liquidity within defined risk bounds.
Deployment
Deployment
- Cloud
- Private Cloud
- On-Premise
- Hybrid
Let's talk about Market Making Engine
For a demo, technical depth or pricing, talk directly to our engineering team.