A single-bot spread earns from one market. A multi-pair spread bot diversifies across correlated markets, smoothing equity curves and capturing more opportunities simultaneously.
Market making involves placing limit orders on both sides of the order book simultaneously — a buy order slightly below the best bid and a sell order slightly above the best ask. You profit from the spread each time both orders fill.
Single-pair market making concentrates risk. If one market goes illiquid or trends strongly, your inventory builds on one side. Spreading across 5-10 correlated markets smooths this out dramatically.
class MultiPairSpreadBot:
def __init__(self, symbols, spread_pct=0.05, order_size=100):
self.symbols = symbols
self.spread_pct = spread_pct
self.order_size = order_size
def quote(self, symbol, mid_price):
half_spread = mid_price * self.spread_pct / 100
bid = mid_price - half_spread
ask = mid_price + half_spread
return bid, ask
Q: Which pairs work best for a multi-pair spread bot on LMEX?
BTC-PERP, ETH-PERP, SOL-PERP, and BNB-PERP offer deep liquidity and tight spreads — ideal for market making. For commodity perpetuals, OIL-PERP and BRENT-PERP have consistent intraday ranges. Avoid very low liquidity pairs where your own orders move the market.
Q: How much capital do I need to run a multi-pair spread bot on LMEX?
A minimum of $5,000-$10,000 is recommended to spread across 5+ pairs with meaningful order sizes. Too small and transaction fees eat into profits. Too large relative to order book depth and your orders cause slippage.
Q: How do I handle inventory risk when one side of the spread fills but the other doesn't?
Set a maximum inventory limit per symbol. When inventory exceeds your limit on one side, widen the spread on that side to attract the opposite trade, or use a small market order to rebalance. Never let unhedged inventory grow unchecked.
Q: What is the difference between market making and grid trading on LMEX?
Grid trading places orders at fixed price intervals around the current price and holds through cycles. Market making places tight bid/ask quotes and profits from the spread on each round trip. Grid trading suits ranging markets over hours or days; market making suits highly liquid pairs over minutes.