Why Does HAL Use Exchanges APIs?

When you trade on your exchange, you place orders yourself. That might be good enough for starters, but exchanges can also be super-powered by external solutions and technologies – like HAL. This is done through a technology called API. Is this type of connection secure? How does it work, and how can you link HAL to your exchange? This is what we will cover in this article.

What’s an API?

API stands for Application Programming Interface. Simply put, it’s a piece of software that allows different systems to interact with each other. On the web, you use APIs all the time, whether you are sending a message on social media, searching for a flight on Google, or checking the weather. APIs enrich existing systems by plugging in more tools, created by external developers.

And this also applies to crypto exchanges and HAL. Thanks to APIs, HAL can provide professional trading strategies to everyone. Think of HAL strategies as an add-on for your exchange.

Why Does HAL Use Exchanges APIs - Diagram

An API is a way to exchange information and make requests between softwares or programs. In order for any external tool to be connected through an API, the systems need to make sure you are the one making that initial connection request. That’s where API keys step in. Just like a real-world key, which is designed to open a specific door, your API key opens up access to your exchange. And you wouldn’t give the key to your house to just anyone, would you?

Connecting HAL to Your Exchange With Your API Key 

An API Key is used to authenticate you and identify what account is being accessed by HAL. This tells the Exchange that HAL has authorization to access your account and perform your trading operations.

There are two important elements included in a set of API Keys: the API Key and the API Secret Key. Please note that the API Secret Key must remain secret – if you wish to save it, you should do it in a very secure location. If you lose your API Secret Key, we will not be able to retrieve it. 

Let’s see how HAL by CoinShares provides you with the security you need to grant access to your exchange:

  • HAL is part of CoinShares, Europe’s leading digital assets investment firm. The service is managed along stringent, top-of-the-industry security standards. 
  • The API does not allow HAL to withdraw funds from your exchange. It can only perform specific actions: place orders on your behalf, according to the strategies you have chosen. 
  • HAL trades within limits set by the user. You allocate funds to each strategy, and that’s the maximum amount the strategies can use.

Getting deeper in technical details, HAL by CoinShares manages API keys in a high security standard. Your keys are fully encrypted: each API key is encrypted through a unique, random encryption key to make them inoperable if made public as is. In the event of an attack on our platform, it would be impossible for malicious actors to access your keys without their matching decryption key stocked in a separate, protected database. It is a simple yet powerful cybersecurity practice leveraging cryptography to keep your funds secured on your exchange.

HAL can currently be connected to 2 exchanges: Binance and Kraken. In order to retrieve your API key, you need to visit the exchange themselves – you’ll see they have solid authentication techniques enforced. It only takes a few minutes to get your API key and enter it on HAL – but you need to be careful when doing it, as it’s a sensitive operation (and some exchanges only let you see your key once). In order to walk you through this process, we have created step by step guides for each platform: check the instructions for Binance Spot, Binance Futures and Kraken.

Conclusion: Connect Your Exchange to HAL

Once you have set up HAL thanks to your API key and allocated funds, the strategies will be active 24/7. Definitely not something you could do on your own – not to mention the expertise offered by the strategies. 

And should you need any help in connecting your exchange, our support team is just a message away. Reach out to them via our dedicated form, and get a reply in less than 24 hours. 

Join HAL & trade automatically, right on your exchange →


Investing involves risk, including the possible loss of all the money you invest. In particular, crypto-assets are a highly volatile and speculative asset class. HAL is only suitable for traders who are willing to bear the risk of loss and experience sharp drawdowns. Past performance is not necessarily a guide to future performance. The performances presented are real performances calculated net of execution fees and slippage from a proprietary Binance account.

The purpose of this material is to provide objective, educational and interesting commentary and analysis on developments in the crypto-assets sector. Nothing in this material should be interpreted as constituting an offer of (or any solicitation in connection with) any investment products or services by any member of the CoinShares Group where it may be illegal to do so. Access to any investment products or services of the CoinShares Group is in all cases subject to the applicable laws and regulations relating thereto.