Introduction
In our previous discussion, we explored the critical aspects of exchange assets and positions. Another vital component in financial markets—especially within cryptocurrency exchanges—is business records. Unlike traditional exchanges, crypto platforms handle not only trade matching but also fund clearing and settlement. Additionally, most major exchanges offer ancillary services like staking, lending, and borrowing, resulting in diverse and complex record-keeping systems.
This guide delves into the types of business records, their significance, and how they integrate into broader financial and risk management frameworks.
Key Types of Records in Crypto Exchanges
Exchanges typically maintain two primary categories of records:
- Business Records: Detailed logs of transactions and services.
- Fund Flows: Abstract summaries of asset movements affecting cash balances.
Understanding their interplay is essential for building robust reconciliation and accounting systems.
1. Business Records by Service Type
Below is a breakdown of common services and their associated records on platforms like Binance:
| Service Category | Subtype | Relevant Records |
|---|---|---|
| Trading | Spot | Trade execution records |
| Trading | Margin | Trade executions, leverage interest logs |
| Trading | Futures | Executions, delivery/liquidation records, perpetual funding fee logs |
| Trading | P2P/Small-asset swaps | P2P transaction logs, swap records |
| Wealth Management | Staking/Structured products | Subscription/redemption logs, profit distribution records |
| Lending | Standard/VIP loans | Loan principal records, collateral logs, interest payment records |
| ... | ... | ... |
2. Fund Flows: The Financial Backbone
Fund flows provide a high-level view of asset changes due to specific events, such as:
- Deposits/withdrawals.
- Trade settlements.
- Interest accruals.
Example: 2025-01-01 12:00: Deposit 1 BTC | Cash Balance: 2 BTC
Financial teams prioritize timestamp accuracy and balance continuity, while risk managers focus on real-time trade data for monitoring exposures.
Data Acquisition Methods
Exchanges offer multiple channels to retrieve historical records, each suited to different use cases:
| Method | Use Case |
|---|---|
| UI Download | Ad-hoc manual exports for small-scale audits. |
| WebSocket | Real-time trade streaming (e.g., for OEMS/PMS systems in algorithmic trading). |
| REST API | Bulk historical data fetching (data warehouses/accounting). |
| Async APIs | Limited availability; used for deep historical pulls (accounting/backtesting). |
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Challenges in Crypto Data Standardization
1. Non-Standardized Data Landscapes
- Divergent Products: Binance’s "Simple Earn" vs. OKX’s "Earn" products necessitate unique field mappings.
- Technical Gaps: Some exchanges lack API support, requiring UI scraping or custom integrations.
2. Balancing Real-Time vs. Batch Processing
- WebSocket: Optimal for low-latency needs (e.g., trading risk checks).
- REST/Async: Ensures data completeness for end-of-day reconciliation.
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FAQ Section
Q1: Why are fund flows separate from business records?
A: Fund flows aggregate transactional impacts on balances, while business records detail individual events—both are complementary for full financial visibility.
Q2: How do exchanges handle historical data limitations?
A: Advanced platforms offer Async APIs, but many require manual backfilling or third-party tools like 1Token’s data middleware.
Q3: What’s the biggest hurdle in crypto data governance?
A: Standardizing non-uniform records across 100+ global exchanges while maintaining auditability.
Conclusion: Building a Future-Proof Data Infrastructure
Cryptocurrency institutions must prioritize:
- Adaptability: Custom connectors for diverse exchange APIs.
- Reliability: Automated checks to ensure record accuracy.
- Scalability: Modular systems that grow with expanding service offerings.
By partnering with specialized providers like 1Token, firms can transform raw exchange data into actionable insights—laying the foundation for compliant, efficient operations.