While Luno doesn’t set the price of any cryptocurrencies – that’s up to the demand and supply of buyers and sellers – you might be curious about where these prices come from and how they’re calculated.
The Instant Buy/Sell price quote
When you use Luno’s Instant Buy/Sell feature, you’ll see a quoted price before you confirm the transaction.
At regular intervals (multiple times per minute), Luno checks the order books of various liquidity providers and exchanges, including the Luno Exchange. We then calculate an average price from this market data to determine your price quote.
The quoted price is valid for 60 seconds, during which time you can decide whether or not to complete your transaction.
Why are prices in other parts of the app different from my Instant Buy/Sell price quote?
Prices displayed on various sections of the platform, including the app Home screen, the price calculator and price alerts are determined mostly by recent trades on the Luno Exchange. Thus, the prices shown may slightly differ from the quotes obtained when buying or selling cryptocurrencies.
Here are some of the factors that cause these differences:
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Calculations using the price calculator tool are based solely on recent trades on the Luno Exchange.
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Prices on the Home screen and price graphs use historical data from completed trades on the exchange, while quotes are based on open orders that have yet to be executed.
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Price quotes vary depending on whether you’re buying or selling. As with any market, people are willing to sell at a different price compared to buying.
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Price alerts use data from the Luno Exchange incorporated with price information from other exchanges.
Note
The prices you see in various parts of the app will provide a good estimate, but they should not be seen as a price quote for buying or selling. You’ll get your actual price quote, valid for 60 seconds, before you complete your buy/sell transaction.