#firstdealofthenewyearFateema Retail and institutional trading differ mainly in scale, strategy, and access to resources. Here’s a breakdown: 1. Trader Profile Retail Traders: Individual investors trading with personal funds. Institutional Traders: Large organizations like hedge funds, banks, and mutual funds managing significant capital. 2. Capital & Trade Size Retail: Smaller trade sizes, often a few hundred or thousand dollars. Institutional: Large-scale trades, sometimes in millions or billions. 3. Market Access & Fees Retail: Uses standard brokerage accounts, paying higher fees and spreads. Institutional: Access to dark pools, direct market access (DMA), and lower fees due to volume. 4. Trading Strategies Retail: Focus on technical and fundamental analysis, often short-term trades. Institutional: More sophisticated strategies like algorithmic trading, arbitrage, and high-frequency trading (HFT). 5. Order Execution Retail: Executes trades through brokers with potential slippage. Institutional: Uses advanced execution methods to minimize price impact. 6. Regulation & Reporting Retail: Fewer regulatory requirements beyond basic KYC/AML. Institutional: Must comply with strict regulations (e.g., SEC, MiFID II) and reporting standards. Would you like insights into how this applies to crypto trading specifically?