GlossaryAdvanced
Dark Pool
A private trading venue where order details are not publicly visible before execution.
A dark pool is a private trading venue where order details (such as size and price) are not publicly visible before execution, intended to let large trades execute with less market impact than they would on a fully public order book.
Crypto-specific dark pools and similar private-liquidity arrangements exist, though they represent a smaller portion of overall crypto trading activity than public exchanges.
Examples
- A large trade routed through a dark pool doesn't reveal its size on the public order book beforehand.
- Dark pools are intended to reduce the market impact of very large trades.