#TradingOperations

Spot Trading

•What it is: Buying or selling crypto at the current market price (“on the spot”).

•Use: Common for traders who want immediate ownership of assets.

•Example: Buying $BTC at $65,000 to hold or sell later.

Convert (Swapping)

•What it is: Instantly exchanging one crypto for another (e.g., $BTC to $ETH ) at current market rates.

•Use: Fast, simple, and no need for charts or order books.

•Example: On Binance, convert 1 BTC to ETH in seconds without fees or slippage concerns (usually for small trades).

3. Arbitrage

•What it is: Profiting from price differences across platforms or markets.

•Types:

•Spatial arbitrage: Buy BTC on Binance at $65,000, sell on Coinbase at $65,100.

•Triangular arbitrage: Exploit pricing gaps between three crypto pairs (e.g., BTC → ETH → USDT → BTC).

•Risk: Timing, fees, and slippage can reduce profits.