#TradingPairs101 "Trading pairs 101" is a beginner's guide to understanding how cryptocurrencies or other assets are exchanged on trading platforms. Here's a clear, concise overview:
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🔄 What Are Trading Pairs?
A trading pair consists of two assets that can be traded for one another on an exchange. It shows how much of one asset is needed to purchase a unit of another.
> Format: BASE/QUOTE
Example: BTC/USDT
Base currency (first): What you're buying or selling.
Quote currency (second): What you're using to pay or get paid.
BTC/USDT means:
You're buying or selling Bitcoin using Tether (USDT).
If BTC/USDT = 27,000, then 1 BTC = 27,000 USDT.
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📘 Common Types of Pairs
1. Crypto-to-Fiat:
BTC/USD, ETH/EUR
Buying/selling crypto using traditional currencies.
2. Crypto-to-Stablecoin:
BTC/USDT, ETH/USDC
Trading crypto against stablecoins (pegged to fiat like USD).
3. Crypto-to-Crypto:
Swapping one cryptocurrency for another.
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💡 Why Trading Pairs Matter
Not all assets are directly tradable. You may need to bridge through another asset.
