change

The remainder, also known as “change”, is a commonly used concept in the crypto assets market. In the context of cryptocurrencies, this term refers to the amount that remains in the exchange account after a transaction has been made but has not been used to buy or sell any cryptocurrency. It is the amount that stays “in the user’s pocket,” available for further trading or withdrawal to an external account.

Source of Change

The change appears when a user makes a trade transaction but does not purchase or sell the entire selected quantity of cryptocurrency. For example, if an investor wants to buy 3 units of Bitcoin but decides to sell only 2 units, the remainder, i.e., the unused unit of cryptocurrency, remains.

Security and Benefits

Having the remainder in the exchange account can be advantageous for several reasons. Firstly, it provides users with flexibility in making trading decisions, allowing for quick responses to market changes. Secondly, the change can help avoid additional fees related to withdrawing funds from the exchange because it can be immediately used for further transactions.

Important: It is essential to remember that leaving a large amount of change in the exchange account may increase the risk of theft or loss of funds in case of a hacking attack. Therefore, it is recommended to store larger amounts of cryptocurrencies in external wallets that offer a higher level of security.

Summary

In conclusion, the remainder is a significant concept in the crypto assets market, referring to the unused funds remaining in the exchange account after a transaction is completed. Despite its simplicity, it is important to consciously manage the change to optimize cryptocurrency trading and minimize the risk associated with keeping funds on the exchange.