How Do Dark Pools Compare to RFQ Platforms in Terms of Trade Anonymity and Execution?

Dark pools and RFQ platforms both offer trade anonymity, but in different ways. Dark pools are typically CLOB-like systems where orders are matched anonymously without pre-trade price display, aiming to execute at the midpoint of the national best bid and offer (NBBO).

RFQ platforms provide anonymity to the requesting party until the quote is accepted, and execution is bilateral at the quoted price. Dark pools are multilateral; RFQ is bilateral.