Permission Granularity

Permission granularity refers to the level of detail with which an application or user can be granted access to specific system functions. Fine-grained permissions allow for highly restricted access, such as enabling an API key to only place orders on a specific trading pair.

This limits the potential damage from a compromised key, as the attacker cannot perform actions outside the defined scope. In contrast, coarse-grained permissions grant broad access, which is generally discouraged in secure systems.

Designing for granularity is a key aspect of building resilient and secure trading protocols. It ensures that each component of a trading system only has the permissions required to perform its specific task.