In the context of cryptocurrency trading, spot trading refers to the buying and selling of cryptocurrencies for immediate delivery, at the current market price. Essentially, this means exchanging one cryptocurrency for another or trading cryptocurrency for fiat currency (like US dollars) or vice versa at the current market rate. In spot trading, the transaction is settled in real-time, meaning the buyer receives the cryptocurrency immediately after the transaction is completed, rather than at a later date or at a predetermined price. Spot trading is one of the most common types of trading in the cryptocurrency markets, and it’s often used by traders who want to take advantage of short-term price movements in the market.
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