API Key has ability to bring practical value when applied in the process of trading coin. Follow along with article below to understand more about this issue!
What is API Key?
It can be understood simply as follows, API Keys are keys that act as an intermediary, granting permission to allow softwares and applications to identify and work with each other.
This is a very familiar term in the IT field in general, allowing developers to integrate them into stakeholders for the purpose of creating many applications that bring practical value.
In fact, API Key brings a lot of benefits, such as helping traders perform actions to buy - sell and deposit - withdraw cryptocurrency... without having to log in directly to the exchange.
Application of API Key in trading coin
Currently, API Key is increasingly widely applied in the field of cryptocurrencies in general.
Besides, it is also considered a very important factor for traders when trading coin.
As mentioned above, people can integrate API Keys on exchanges into a third-party application to operate without having to go through direct access.
Moreover, we also fully take advantage of the interesting functions from the external application and serve it for trading, such as automated coin trading bot.
Thanks to API Key, the process of trading coins on exchanges is made much simpler and faster, providing the best convenience and experience for users.
Some notes when applying API Key in trading coin
It can be said that most of the cryptocurrency exchanges on the market today are providing API Key for their users and this is also considered a prerequisite for them to compete with each other.
Even exchanges are constantly updating new features for API Key with the aim of attracting and bringing the best for users in the process of making transactions.
This shows that the number of API Key users in trading coins is not a small number and has not shown any signs of abating, on the contrary, it is increasing rapidly.
Therefore, we need to research it carefully before applying it to individuals. Here are the things to note that Nobody has concluded:
API Key permissions
When generating a new API Key, exchanges often provide users with 3 options for granting permissions with different levels suitable for each actual need, including:
- Read info (general): Allows third-party apps to read account-related information such as balances, transaction history, buy/sell orders, etc.
- Enable trading (trade): Allows third-party apps to make transactions on the exchange account.
- Enable withdrawals (withdraw): Allows third-party apps to withdraw funds in the exchange account to another wallet address.
Based on the purpose of each individual's use for themselves or for the construction of the project, consider choosing the most appropriate permission.
Securely store API Key
The security of Private Key is a very important and necessary issue, should be put on top, especially in the cryptocurrency market.
If not careful, hackers can take advantage of this opportunity to perform bad actions such as stealing information or worse, collecting all assets.
When using API Key in trade coin, we need to note:
- Save the API Key to a .txt or Word file, then compress it through Winrar software and install more passwords.
- Delete API Key when there is any intrusion from outside and generate new API Key yourself.
