Bitget Revamps Its Liquidity Incentive Framework and Launches a Fresh Grading Approach

Cryptocurrency exchange Bitget officially announced the enhancement of its liquidity incentive program, effective May 1st at 8:00 AM (UTC). 

The tiers assigned to market makers in this program will depend on specific criteria. Initially, new market makers will retain their allocated tier for the current and subsequent month. If their performance outpaces initial expectations after this period, they'll be automatically upgraded. Starting from their third month, their tier and associated benefits will be revised on the first day of each month according to the prior month's performance.

When applying to become a market maker, candidates are required to submit appropriate documents that align with their trading focus. Those aiming to be spot market makers need to provide evidence related to spot trading, while futures market makers must supply documentation pertaining to futures trading. Applicants seeking to cater to both markets must fulfill both documentation requirements.

Market makers will be classified into five distinct tiers based on the USDT assets in their Bitget accounts. To qualify as a Tier 1 market maker, one must hold over 2 million USDT in assets, Tier 2 requires more than 1 million USDT, Tier 3 is for those holding over 500,000 USDT, Tier 4 for over 100,000 USDT, and Tier 5 for at least 50,000 USDT. Those eligible for a higher tier may submit an application once they meet the criteria.

For spot market makers, tier placement evaluations are derived from market-making volumes, with the top applicable tier being derived from their ranking in spot maker volume (in USDT) or a similar scoring system. Each tier has varying weightings, with Tier 1 utilizing a 10% volume weight, while tiers 2 through 5 incorporate weights of 20%, 40%, 60%, and 100%, respectively.

In the same vein, futures market makers will be evaluated according to their market-making activities, with futures trading pairs categorized into two groups: Group A and Group B (the latter encompassing all pairs not in Group A). The tier-weighting structure for futures emulator rankings mirrors that of spot market makers. The rankings for futures volume will be assessed with the aforementioned tier weights.

Market makers stand to gain the benefits of the highest tier they qualify for, whether in the spot or futures arena. For instance, Tier 1 market makers will be granted access to 50 sub-accounts, a 24-hour withdrawal cap of 40 million USDT, and an API call rate limit of 100/s applicable for both spot and futures markets. On the other hand, Tier 2 market makers will enjoy access to 20 sub-accounts, a 30 million USDT withdrawal ceiling, and an API call rate limit of 80/s. Tier 3 mirrors the Tier 2 benefits with a slightly reduced 25 million USDT withdrawal limit. Meanwhile, Tier 4 and Tier 5 market makers will have an API call rate limit of 60/s for both segments, with withdrawal thresholds ranging from 20 million USDT for Tier 4 to 15 million USDT for Tier 5.

What Is the Bitget Liquidity Incentive Program?

The Bitget Liquidity Incentive Program is tailored to entice and reward market makers who actively enhance liquidity on the Bitget platform. This system provides tiered benefits based on trading volumes and market-making activities, thus offering participants competitive rebates and supplementary incentives. 

Market makers are stratified into five tiers according to their account balances, validated tier status with other exchanges, and the 30-day maker volume recorded on Bitget. Each tier presents specific maker and taker fee structures, ensuring that those in higher tiers receive more favorable conditions.

Initially, new market makers will be assigned a tier that will remain active for the ongoing month and the next. From the third month onward, tiers and benefits are subject to monthly evaluations influenced by the market maker's preceding performance.

In addition, the program offers several perks such as access to low-interest rates on surplus funds, flexible repayment plans, and multi-coin institutional lending options. Market makers excelling in their roles can also enjoy preferential ranking for quotes and priority access to bonus initiatives tied to particular spot trading pairs.

To engage with the program, market makers must provide relevant documentation based on their focus on either spot or futures trading. The initiative welcomes both new and established market makers, provided they meet specific onboarding criteria.