In the world of cryptocurrencies, the market experiences periods of sharp volatility, both upward and downward. Such periods can represent good opportunities for profits, but they can also carry significant risks, especially for beginners or investors who are not proficient in using advanced trading tools like limit orders, futures, or margin trading.
This is where the importance of the Binance Convert tool comes in, providing a simple and quick way for users to swap their cryptocurrencies without the need for advanced technical knowledge or getting involved in traditional trading fees.
First: What is Binance Convert?
Binance Convert is a tool available within the Binance platform that allows users to convert one cryptocurrency to another directly, without going through the spot market. The tool supports over 7000 trading pairs, including major cryptocurrencies as well as stablecoins and fiat currencies.
What distinguishes this tool is that it does not impose trading fees like traditional markets; instead, it offers you prices directly from the market (Market Price), and the transaction is executed immediately if using a market order.
Benefits of using Binance Convert during market volatility
1. Speed and simplicity
The conversion can be executed within a few seconds, without the need to learn how to use charts or trading orders.
2. No traditional trading fees
Binance Convert does not charge fees as in the spot trading platform, making it suitable for quick and repetitive operations.
3. Avoid slippage
When using a market order, you get a live price quote, and if you agree quickly, you can execute it immediately without significant slippage.
4. Converting to stablecoins to protect profits
Binance Convert can be used to quickly convert profits into stablecoins like USDT or FDUSD, reducing the risk of market decline following a sudden surge.
5. A suitable tool for beginners
The simplified interface makes it ideal for new users who want to enter and exit the market quickly without needing to understand advanced trading tools.
Steps to use Binance Convert
Step one: Log in to your account
Log in to your Binance account through the official website or app.
Step two: Go to the conversion tool
Go to the 'Trade' menu, then choose 'Convert & Block Trade'.
You can also access the tool through the 'Spot Wallet' or 'Funding Wallet'.
Step three: Choose the order type
Binance Convert supports two types of conversion orders:
1. Market Order
The conversion is executed at the current market price. Suitable if you want to convert currencies immediately.
2. Limit Order
You specify the price at which you want to execute the conversion. If the market does not reach this price within the specified time, the order is automatically canceled.
How to execute a conversion using a Market Order
1. Choose the 'Market' tab.
2. Select the currency you own and the currency you wish to convert to (e.g., from USDT to BNB).
3. Enter the desired amount, or press the 'Balance' option to enter the maximum available quantity.
4. Press 'Preview Conversion'.
5. The system will display the current price and the quantity you will receive.
6. If you are satisfied with the price, press 'Convert'.
7. The operation will be executed immediately, and the new currency will be added to your wallet.
How to execute a conversion using a Limit Order
1. Choose the 'Limit' tab.
2. Select the currency you wish to convert from and to.
3. Enter the amount you want to convert.
4. Enter the price at which you wish to execute the conversion.
5. You can set a time duration for the order to remain active (e.g., 30 days).
6. Press 'Submit Order', then 'Confirm'.
7. Your order will be listed in the order book, and when the market reaches the price you specified, the order will be executed automatically.
8. If you want to cancel the order before it is executed, you can go to 'Conversion History' and cancel the order.
A practical example of using Binance Convert in a volatile market
Scenario: Suppose the price of BNB has risen significantly over a short period, and you own BNB and want to protect your profits from the possibility of a sudden drop.
Solution: You can use Binance Convert to convert BNB to a stablecoin like USDT.
Steps:
1. Enter Binance Convert.
2. Choose to convert from BNB to USDT.
3. Choose the order type 'Market'.
4. Enter the amount (e.g., 1 BNB).
5. Press 'Preview Conversion', then 'Convert'.
6. The operation has been completed, and your profits are safely stored in USDT away from BNB price volatility.
Can Binance Convert be used on the mobile app?
Yes, the Binance platform supports the execution of transfer operations using Convert via the app on smartphones, whether on iOS or Android. You can download the app from the app store or use the QR code available on the official Binance website.
Where can I track conversion history?
All conversions made through Binance Convert are recorded in the 'Conversion History' section. From there, you can review the details of each operation, including the two currencies used, the amount, the price, and the execution date.
Summary
The Binance Convert tool represents a practical and efficient solution for users who want to control their investments quickly and easily without the need to engage in trading complexities.
During times of market volatility, this tool can be a powerful means to secure profits, convert to safer assets, or even take advantage of opportunities in other cryptocurrencies without incurring high fees or technical complications.
If you are a new user in the field of cryptocurrencies, or even an experienced investor who wants to simplify some operations, Binance Convert provides you with the flexibility and speed you need to deal with a changing and volatile market.
