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Architecture Overview

System Architecture

The Binance MCP Server is built on a modular architecture that separates concerns and ensures maintainability, security, and performance.

Core Components

graph TB
    A[MCP Client] --> B[FastMCP Server]
    B --> C[Tool Router]
    C --> D[Market Data Tools]
    C --> E[Account Tools]
    C --> F[Trading Tools]
    C --> G[History Tools]

    D --> H[Binance API Client]
    E --> H
    F --> H
    G --> H

    H --> I[Rate Limiter]
    H --> J[Configuration Manager]
    H --> K[Error Handler]

    I --> L[Binance Exchange API]
    J --> L
    K --> L

Architecture Layers

1. MCP Protocol Layer

  • FastMCP Server: Handles MCP protocol communication
  • Transport: STDIO, HTTP, and SSE transport support
  • Tool Registration: Automatic tool discovery and registration

2. Application Layer

  • Tool Modules: 17 specialized tools for different operations
  • Response Formatting: Standardized success/error responses
  • Input Validation: Parameter validation and sanitization

3. Service Layer

  • Binance Client Manager: Centralized API client management
  • Rate Limiting: Intelligent rate limiting to respect API limits
  • Configuration Management: Environment-based configuration

4. Infrastructure Layer

  • Error Handling: Comprehensive error handling and logging
  • Security: API key management and secure client initialization
  • Monitoring: Request logging and performance tracking

Tool Categories

Market Data Tools

Tools for accessing real-time and historical market information: - get_ticker_price: Current asset prices - get_ticker: 24-hour price statistics - get_order_book: Market depth and order book data - get_available_assets: Exchange trading pairs information

Account Management Tools

Tools for managing account information and balances: - get_balance: Account balances across all assets - get_account_snapshot: Point-in-time account state - get_position_info: Futures position information - get_pnl: Profit and loss calculations

Trading Tools

Tools for order management and trading operations: - create_order: Place new trading orders - get_orders: Retrieve order history and status

Transaction History Tools

Tools for tracking deposits, withdrawals, and transfers: - get_deposit_history: Deposit transaction history - get_withdraw_history: Withdrawal transaction history - get_deposit_address: Get deposit addresses for assets - get_liquidation_history: Liquidation event history - get_universal_transfer_history: Cross-account transfers

Fee Information Tools

Tools for accessing trading fee information: - get_fee_info: Trading fee rates and calculations

Data Flow

Request Flow

  1. MCP Client sends tool request via STDIO/HTTP
  2. FastMCP Server receives and validates the request
  3. Tool Router dispatches to appropriate tool module
  4. Tool Module validates parameters and calls Binance API
  5. Response flows back through the same path with standardized format

Error Handling Flow

  1. Error Detection at any layer (validation, API, network)
  2. Error Classification into categories (validation, API, rate limit, etc.)
  3. Error Response creation with standardized format
  4. Logging for debugging and monitoring
  5. Client Response with actionable error information

Security Architecture

API Key Management

  • Environment variable-based configuration
  • No hardcoded credentials in source code
  • Support for testnet and production environments

Rate Limiting

  • Intelligent rate limiting based on Binance API limits
  • Request queuing and throttling
  • Error responses when limits are exceeded

Input Validation

  • Parameter type checking and validation
  • Symbol format normalization
  • Order side and type validation
  • Quantity and price validation

Performance Considerations

Caching Strategy

  • No caching implemented (real-time data priority)
  • Each request fetches fresh data from Binance API
  • Consider implementing caching for non-critical data

Connection Management

  • Persistent client connections when possible
  • Connection health checking via ping
  • Automatic retry mechanisms for failed requests

Resource Usage

  • Minimal memory footprint
  • Efficient JSON parsing and serialization
  • Logging level configuration for performance tuning

Configuration Management

Environment Variables

BINANCE_API_KEY=your_api_key        # Required: Binance API key
BINANCE_API_SECRET=your_secret      # Required: Binance API secret  
BINANCE_TESTNET=true               # Optional: Use testnet (default: false)

Runtime Configuration

  • Dynamic client initialization
  • Environment-based URL selection
  • Configurable logging levels
  • Transport method selection

Extensibility

Adding New Tools

  1. Create tool module in binance_mcp_server/tools/
  2. Implement tool function with proper error handling
  3. Add tool registration in server.py
  4. Add tests in tests/test_tools/
  5. Update documentation

Tool Development Guidelines

  • Use @rate_limited decorator for API calls
  • Follow standardized response format
  • Implement comprehensive error handling
  • Add detailed docstrings and type hints
  • Include usage examples in documentation

This architecture ensures scalability, maintainability, and robust operation while providing a clean interface for AI agents to interact with Binance's cryptocurrency exchange.