What factors are considered in the implicit cost formula for digital asset transactions?

3 answers

• Apr 23, 2022 · 3 years ago
  The implicit cost formula for digital asset transactions takes into consideration several factors. These include the transaction volume, the liquidity of the asset being traded, the market depth, the spread between bid and ask prices, and any fees or commissions associated with the transaction. By considering these factors, the formula aims to estimate the hidden costs that may be incurred during the transaction process.
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• Apr 23, 2022 · 3 years ago
  When calculating the implicit cost of a digital asset transaction, various factors are considered. These factors include the size of the transaction, the volatility of the asset, the trading volume, and the liquidity of the market. Additionally, any fees or commissions associated with the transaction are also taken into account. By analyzing these factors, the implicit cost formula provides an estimate of the overall cost of executing the transaction.
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• Apr 23, 2022 · 3 years ago
  In the implicit cost formula for digital asset transactions, factors such as the size of the trade, the market liquidity, the volatility of the asset, and the trading fees are all considered. The formula aims to provide an estimate of the hidden costs associated with executing the transaction. By taking into account these factors, traders can better understand the potential impact on their overall transaction costs and make more informed trading decisions.
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