Liquidity is crucial for the smooth functioning of a cryptocurrency exchange. Exchanges can ensure liquidity by partnering with market makers and liquidity providers who facilitate the buying and selling of assets on the platform. Additionally, implementing trading incentives such as maker-taker fee structures and rewards programs can attract liquidity providers and incentivize trading activity. Continuously monitoring order books and adjusting trading pairs can also help maintain liquidity levels.
source:
https://www.blockchainappfactory.com/cryptocurrency-exchange-software
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