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What Role Does the ‘Dark Pool’ Concept Play in Reducing Front-Running Risk for Large Crypto Trades?

A dark pool is a private forum for trading securities or crypto that is not accessible to the public. It allows institutional investors to place large orders without publicly revealing their intentions, which prevents others from front-running or manipulating the price.

Trades executed in a dark pool are only reported after the fact. This opacity significantly reduces the risk of market impact and front-running for block trades.

How Does the Size of an Order Affect Its Susceptibility to Front-Running?
How Does the Transparency of an RFQ System Compare to a Dark Pool?
How Do Dark Pools Differ from Iceberg Orders in the Context of Hiding Trade Intentions?
How Does Front-Running in DeFi Compare to ‘Insider Trading’ in Traditional Finance?