What the Hell is an RPC? (And Why Your Trading Strategy Needs One)
Think RPCs are boring tech jargon? Think again. Using gaming metaphors, we'll show you why Remote Procedure Calls are the secret weapon that separates amateur trading bots from professional-grade strategies.
You know whatâs frustrating? Watching your trading strategy miss opportunities because your software is too slow.
Youâve got the perfect algorithm, the market timing is right, but by the time your platform executes the trade, the moment is gone. Some other trader with better infrastructure took your money.
The difference usually comes down to something most people have never heard of: Remote Procedure Calls (RPCs). Let me explain using something more fun than technical documentation: video games.
The Gaming Analogy: Youâre Playing an MMO
Imagine youâre playing World of Warcraft. Youâre in a dungeon with your party, and you need to coordinate attacks. Hereâs what happens:
The Old Way (HTTP/REST APIs): You: âHey tank, can you taunt the boss?â You write a letter, put it in an envelope, mail it across the internet Tank: Opens letter moments later âSure, Iâll taunt now!â Tank writes back, mails response You: Receive confirmation âGreat! DPS, attack now!â
Result: The boss killed your entire party while you were playing postal service.
The RPC Way: You: âTank.taunt(boss_id)â Tank: Immediately taunts âDone!â You: âDPS.attack(boss_id)â DPS: Already attacking
Result: Boss goes down fast. Victory dance ensues.
Why This Matters in Trading
In financial markets, those delays arenât just annoyingâtheyâre money bleeding out of your account.
Letâs say youâre running an arbitrage strategy between two exchanges. With traditional HTTP requests, youâre sending messages back and forth, waiting for responses, parsing data. By the time you execute, the opportunity is often gone.
Some high-frequency trader with better infrastructure already took it.
With RPCs, youâre calling functions directly. The round-trip time shrinks dramatically. You capture opportunities that others miss entirely.
How This Actually Works (Without the Boring Parts)
RPCs let you call functions on other computers like theyâre running on yours. Your code says âhey, get my account balanceâ and it doesnât matter if that balance is stored on your laptop or in a data center in Singapore.
// This could be local or remote - your code doesn't care
const balance = await getBalance(account_id);
The magic is that distance doesnât slow things down. Whether the function runs next to your CPU or across the ocean, it feels the same to your trading strategy.
Why Most Trading Platforms Get This Wrong
Most trading platforms use REST APIs because theyâre âeasyâ and âstandard.â Hereâs what they donât tell you:
REST APIs are like ordering at a drive-through:
- You have to explain your entire order every time
- Wait for confirmation
- Park and wait for your food
- Drive away
RPCs are like having a personal chef:
- âMake my usualâ
- Food appears instantly
- You keep eating
When youâre trying to catch fleeting opportunities in crypto or forex markets, you want the personal chef, not the drive-through.
Real-World Impact
We tested the same arbitrage strategy using both approaches. The REST API version captured about one in ten opportunities. The RPC version captured most of them.
Thatâs not a small improvementâitâs the difference between a strategy that barely breaks even and one that consistently performs.
The âBut Everyone Uses RESTâ Trap
Hereâs the thing: most retail trading platforms use REST because itâs what web developers know. But professional trading firms? Theyâve been using binary protocols (like RPCs) for decades.
Itâs like showing up to a Formula 1 race in a Honda Civic because âeveryone drives cars.â
Why This Actually Matters for Trading
If youâre building trading strategies, speed isnât just nice to haveâitâs everything. The difference between using REST APIs and RPCs is like the difference between sending a letter and making a phone call.
Most platforms stick with REST because itâs what web developers know. But professional trading firms switched to binary protocols years ago. Thereâs a reason for that.
The Real Talk
RPCs arenât just technical jargon. Theyâre what separate profitable strategies from almost-profitable ones.
While other traders are waiting for their HTTP requests to finish, youâre already in and out of positions. Itâs like having cheat codes for trading, except these are completely legal and everyone could use them if they wanted to.
Want to see this in action? Matchstick uses RPCs from the ground up. No REST API compromises, no JSON conversion delays.
Join the waitlist if you want trading tools that actually keep up with your strategies.
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