According to the recent news, Binance is introducing a new market makers program globally. The main aim is to improve the services and provide more liquidity to the exchange. This unique program targets high volume traders with a trading volume of more than 1000 BTC for 30 days.
— Binance (@binance) September 29, 2019
According to the Binance.com, if a user has the trading volume more than 1000 BTC and has excellent solutions as a market maker, then, he can easily participate in this program. There are many benefits to market makers like reduction in trading fees and high limits of API. Currently, this program is only for spot trading on a limited pair that can update with time. Binance will give a composite score to the market makers based on performance, and the score ranking will decide the market maker fees. There are many factors to count the composite score i.e., volumes of liquidity providers, Bid/offer spread, size and duration of the total order as well as adjustment of weight on specific pairs.
If we talk about the market maker or liquidity providers, then it can be an individual or an organization that can purchase and sell the assets. These people can provide profit to both the commission as well as bid-ask, who is in between asset’s buying and quote of sale.
There are many popular stock exchanges across the world with market makers like the New York Stock Exchange (NYSE), London Stock Exchange (LSE), etc. Interested user can apply for the program by emailing the proof of market-making volumes.