@alazium
Security Analysis. Central Limit Order Books (CLOBs)
What defines a Central Limit Order Book (CLOB)?
2: Price-time priority matching of bids and asks
Why do CLOBs typically exhibit tighter bid-ask spreads?
3: High market depth and multiple participants
Compared to AMMs, CLOBs are better suited for:
1: High-frequency and large-volume trading
A key risk with CLOBs is:
3: Spoofing and front-running attacks
https://skynet.certik.com/quest/central-limit-order-books-clobs