๐ What Is Spot Trading?
Spot trading is the process of buying or selling a cryptocurrency for immediate delivery. When you make a spot trade, you receive the actual asset right away โ no waiting, no contracts.
๐ก Example
You buy 1 BTC at $68,000 โ You immediately own that BTC. You can hold, send, or sell it anytime.
๐งพ How It Works
โ
You use your own funds (no leverage)
โ
You place a market order (instant) or a limit order (wait for your price)
โ
Once filled, the trade settles instantly
๐ฆ You Get the Real Asset
Unlike futures or derivatives, youโre not trading contracts โ you actually own the crypto.
โ๏ธ Advantages of Spot Trading
๐ข Simple and beginner-friendly
๐ข No liquidation risk
๐ข Full control and ownership of your crypto
โ ๏ธ Limitations
๐ด No leverage = smaller short-term gains
๐ด You canโt profit when prices fall (unless you sell what you already own)
๐ In Summary
Spot trading is the most direct and secure way to enter crypto. You trade real assets at real-time prices โ no strings attached.