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Trade Size Limits Meaning

Trade size limits are constraints placed on the maximum or minimum size of a single trade. These limits are imposed by exchanges, liquidity providers, or internal risk systems.

Such limits help prevent market disruption, manage exposure, and protect venues from excessive volatility caused by oversized orders. In crypto markets, limits may vary widely depending on asset liquidity and venue structure.

For traders, trade size limits influence execution strategy, often requiring large positions to be split into multiple smaller orders to minimize market impact.

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