# Passiveness

**Passiveness** determines how far **limit orders** are placed from the market price, balancing **execution speed** and **price efficiency**. A higher Passiveness value means the orders are placed deeper in the book, increasing the likelihood they will be filled passively (as a "maker") but decreasing the certainty of execution.

#### **How It Works**

* **Higher Passiveness (closer to 1)** – Orders are placed **deeper in the order book**, reducing urgency but **improving price efficiency**.
* **Lower Passiveness (closer to 0)** – Orders are placed **closer to the best bid/ask**, increasing **execution probability** but with a **higher risk of adverse selection**.

#### **Considerations**

<figure><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXcCnzfjVIw0hHUJx9Nxi0R2jm_rX020wLv1EuDZY2qB0GzVbjWganKNa43oI6TtRg3r5GqaP2qlLPUP6PS8yU_gPhQa71RoCtlLrqCbxYspl7iNz5EW6AAi3NY96zsNMustywuFRA?key=2WiiUTnIpT80_43pMWB-IUW2" alt=""><figcaption><p>Order Placements with High Passiveness</p></figcaption></figure>

**High Passiveness (e.g., 0.8) – Better Pricing, Slower Fills**

* Orders are placed **deeper in the book**, reducing **market impact**.
* Suitable for **large orders**, minimizing execution costs in **stable markets**.

<figure><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXdMwL_L66cd9iGDmQpA9QIeX16z7yIiWKBsKsabs8e6e9DbTxOfJqWPI0nFgI0I-gxTJBAsaM-onVATJ44vTmBu-OAbg9nZJpey86egszX0wfBY3x0Pxw2D6D7a-bHBzMwhlQzRjQ?key=2WiiUTnIpT80_43pMWB-IUW2" alt=""><figcaption><p>Order Placements with Low Passiveness</p></figcaption></figure>

**Low Passiveness (e.g., 0.2) – Faster Execution, Higher Fill Probability**

* Orders are placed **closer to the top of the book**, increasing **fill probability**.
* Suitable for **urgent trades**, **volatile markets**, and **short execution windows**.

This setting allows traders to **fine-tune execution behavior**, balancing **cost efficiency and execution speed** based on market conditions.


---

# Agent Instructions: Querying This Documentation

If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question.

Perform an HTTP GET request on the current page URL with the `ask` query parameter:

```
GET https://docs.tread.fi/creating-and-submitting-orders/advanced-settings/passiveness.md?ask=<question>
```

The question should be specific, self-contained, and written in natural language.
The response will contain a direct answer to the question and relevant excerpts and sources from the documentation.

Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.