The abbreviation API means “Application Programming Interface”. Most of the big companies at some stage develop APIs for customers or for internal use.
API is an application programming interface that helps applications interact with each other. Daily, we constantly use APIs, but we don’t always realize that we are dealing with them.
In fact, APIs are created by some developers for others as a set of ready–made classes, functions, procedures, structures and constants in a certain format – so that in the end a user on another site or in an application can get easy-to-understand information.
Cryptocurrency APIs allows you to get up-to-date information about digital currencies and their prices from platforms such as Binance, Coinbase or others. In particular, it can be:
– information about the current price of a particular cryptocurrency;
– data on trading volume;
– opening, closing, high and low prices, etc.;
– historical data on the trading of certain cryptocurrencies;
– news feeds reflecting the situation on the cryptocurrency market;
– rating of coins by trading volume, popularity, etc.
Having received such data, you can use it to optimize trading manually or with bots, as well as for other purposes, for example, to post information on your website.
Placing transactions using the API
Traders use the API to place trades on exchanges. The API in this case allows you to set the time of the transaction, the entry/exit point, take profit and stop loss levels, etc.
The APIs also allow traders to improve their trades by using combined data. For example, API prices can be combined with data from the trading history when placing a trade in order to analyze the possibility of making a profit.
How APIs are used in Veles
Veles also use API. The API is used to calculate the average price for a certain period of time. If the price deviates too much from this level, then the principle of restoring the average value tells the bot that the price will return to the average value, and that it’s time to place the appropriate deal to make a profit.
How to add API in your Veles account, read here.
Are the APIs safe to use?
Modern automated cryptocurrency trading relies entirely on APIs that transmit information to trading bots that are able to analyze the situation on the cryptocurrency market and make decisions that are beneficial to users.
In fact, the API is the use of publicly available data in its applications to make a profit, and it is unlikely that this is aimed at stealing your funds. Your security can be violated only if an attacker is able to get into your account with wallets and funds.
The holder of cryptocurrencies should not tick the box next to “Deposit” or “Withdrawal of funds”, then external solutions will not be able to withdraw or transfer money in any way. Read more about the risks in the Wiki.
In Veles, we take care of your profits and try to reduce the likelihood of any risks by providing ready-made trading strategies, helping you with setting up bots and, of course, publishing similar materials with useful tips.