Why you should know this
These words appear in quotes and receipts. Understanding them prevents a displayed price from being mistaken for a final outcome.
The ten terms
Trading pair: two assets quoted against each other.
2. Bid: a buyer’s offered price.
3. Ask: a seller’s offered price.
4. Spread: the gap between best bid and ask.
5. Liquidity: ability to trade with limited price impact.
6. Slippage: difference between expected and executed price.
7. Conversion: exchanging one asset for another.
8. Transfer: moving an asset between accounts or addresses.
9. Payment: transferring value to settle a purchase or obligation.
10. Settlement: completion of the value exchange under the relevant system.
A quote is not a receipt
An app may show a last price, but execution uses available bids or asks. Fees and slippage affect the final result.
A transfer can settle on a network before a provider credits it. A payment can include conversion before the merchant receives local currency.
A familiar example
Maria sees a good stablecoin-to-peso quote. The amount her family receives also depends on spread, fee, available liquidity and withdrawal cost.
One limit to remember
Providers can define labels differently. Review the order preview, transaction record and current terms.
How this connects to market mastery
These ten words become the measurement language for execution, remittance and market-reading academies.
Quick check — no money needed
Explain the difference between spread, slippage and fee using a made-up ₱1,000 conversion.
If you can answer that clearly, this lesson is complete.
*Cryptocurrency and virtual asset transactions are highly volatile and irreversible, may result in significant losses, and do not guarantee returns; customers should trade only after understanding the risks involved.
