5.2.4. API Response Normalization

Each cryptocurrency exchange employs its own format and schema for the data that is sent from its API. These so-called API responses are then transformed into internal, standardized data structures, in a process that we call normalization.

Normalization is an integral part of our system, as the algorithm needs meaningful, uniform data in order to operate properly. Unfortunately, the reliability of the exchange APIs is questionable. It can and probably will happen that one of their APIs will be facing a downtime for a certain period. Another problem that might occur - and one that is even harder to recognize - is that the data itself is erroneous, or something in the response structure was changed without warning.

To avoid any follow-up mistakes on our side, which could be caused by such errors on the side of exchange APIs, we implemented a sophisticated suite of tests. Only API responses which pass these tests are considered successfully normalized. If normalization fails, the according data will not be further processed.

This is also to ensure that a malicious actor who manages to take control over an exchange API cannot manipulate our system.