Price cap application in new cryptocurrency listings
BtcTurk, to provide a fair and orderly market, may set a price ceiling for buy orders and/or a price floor for sell orders (“Price Limit Application”), applicable to newly listed cryptocurrencies on BtcTurk platforms during but not limited to the first 24 hours of trading as explained in this terms and conditions document.
Accordingly, all orders with prices that fall outside the price limits set by the Price Limit Application will be rejected automatically by BtcTurk and will not be dispatched to the market. BtcTurk is authorised to revoke, enforce and/or update the Price Limit Application for any cryptocurrency at its own discretion. A Price Limit Application does not constitute either a vested right for Users or any form of order execution guarantee given by BtcTurk.
BtcTurk, at its own discretion, has the right to either revoke the Price Limit Application, which is in general effective for the first 24 hours of trading shorter than 24 hours, or to extend the 24-hour period depending on the market conditions.
By sending buy or sell orders with newly listed cryptocurrencies on BtcTurk platforms, users confirm they will comply with the terms and conditions of the hereby explained Price Limit Application. Users who do not accept the terms and conditions of the Price Limit Application must refrain from sending orders for the aforementioned cryptocurrencies.
BtcTurk has the right to set and/or amend the terms and conditions of this Price Limit Application according to the prices, limits, price volatility and liquidity conditions of newly listed cryptocurrencies (or the closest/similar trading pairs) traded at domestic and/or global markets selected by BtcTurk.
BtcTurk, has the right to set, update or differentiate the rates used in a Price Limit Application for the calculation of buy order price ceiling and sell order price floor at its own discretion. The aforementioned potential changes in rates do not constitute any form of vested rights for the Users.
Buy and/or sell orders sent by Users prior to any interim changes to the terms and conditions of the Price Limit Application (including any possible changes in the rates used for the calculation of buy order price ceilings and sell order price floors) will be valid until executed or cancelled by the User.
BtcTurk is not obliged to inform or update Users regarding any changes made to the Price Limit Application terms and conditions. It is the Users’ obligation to follow up any such changes.
Users should be aware of the risks of trading cryptocurrencies which may fall outside the scope of the Price Limit Application terms and conditions. The aforementioned risks may result in profits or losses; Users must be aware that the risk of trade loss or loss of initial capital persists. It is the obligation of the User to conduct their own research prior to sending a cryptocurrency buy or a sell order to avoid any such risks.
There are no price floors for buy orders or price ceilings for sell orders.
Trading examples with Price Limit Applications:
Newly listed cryptocurrency: XXX/TRY
Domestic/global average price of XXX, calculated by BtcTurk: 1.00 TRY
Rate of price ceiling and price floor: 20% (The rate used for price ceiling and price floor calculation assumed to be equal)
Price ceiling for buy orders: 1.00 x (1+20%) = 1.20 TRY
Price floor for sell orders: 1.00 x (1-20%) = 0.80 TRY
User buy order example 1:
- The User wants to send a buy order for XXX/TRY at 1.10 TRY
- The 1.10 TRY buy order is lower than the buy order price ceiling of 1.20 TRY
- The order is dispatched to the market, provided that the User’s TRY balance is large enough
- The order is executed if it is higher than or equal to the best sell order in the market
- If the order price is lower than the best sell order price, it is accepted as post-only order
User buy order example 2:
- The User wants to send a buy order for XXX/TRY at 1.25 TRY
- The 1.25 TRY buy order price is higher than the buy order price ceiling of 1.20 TRY
- The order is rejected and not dispatched to the market even though the User’s TRY balance is large enough
User buy order example 3:
- The User wants to send a buy order for XXX/TRY at 0.10 TRY
- The 0.10 TRY buy order price is lower than the buy order price ceiling of 1.20 TRY
- The order is dispatched to the market provided that the User’s TRY balance is large enough
User buy order example 4:
- The User wants to send a buy order for XXX/TRY at 1.10 TRY
- The 1.10 TRY buy order price is lower than the buy order price ceiling of 1.20 TRY
- The order is dispatched to the market provided that the User’s TRY balance is large enough
- BtcTurk reduces the Price Ceiling for buy orders to 1.10 TRY from its previous level of 1.20 TRY
- The user makes it a priority to follow any developments or updates made to the Price Limit Application
- The User’s buy order, sent at 1.10 TRY, prior to the update is kept in the orderbook
- The order is executed if it matches a sell order with a price equal to or lower than the price of the buy order
User sell order example 1:
- The User wants to send a sell order for XXX/TRY at 0.90 TRY
- The 0.90 TRY sell order price is higher than the sell order price floor of 0.80 TRY
- The order is dispatched to the market provided that the User’s XXX balance is large enough
- The order is executed if it is lower than or equal to the best buy order price in the market
- If the order price is higher than the best buy order price, it is accepted as post-only order
User sell order example 2:
- The User wants to send a sell order for XXX/TRY at 0.75 TRY
- The 0.75 TRY sell order price is lower than the sell order price floor of 0.80 TRY
- The order is rejected and not dispatched to the market even though the User’s XXX balance is large enough
User sell order example 3:
- The User wants to send a sell order for XXX/TRY at 2.00 TRY
- The 2.00 TRY sell order price is higher than the sell order price floor of 0.80 TRY
- The order is dispatched to the market provided that the User’s XXX balance is large enough
- The order is executed if it is lower than or equal to the best buy order price in the market
- If the order price is higher than the best buy order price, it is accepted as post-only order
User sell order example 4:
- The User wants to send a sell order for XXX/TRY at 0.90 TRY
- The 0.90 TRY sell order price is higher than the sell order price floor of 0.80 TRY
- The order is dispatched to the market provided that the User’s XXX balance is large enough
- BtcTurk updates the Price Floor for sell orders to 0.90 TRY from its previous level of 0.80 TRY
- The user makes it a priority to follow any developments or updates made to the Price Limit Application
- The User’s sell order, sent at 0.90 TRY, prior to the update is kept in the orderbook
- The order is executed if it matches a buy order with a price equal to or higher than the price of the sell order