The spot market is where financial instruments like cryptocurrencies are traded for immediate delivery. When buying cryptocurrency on the spot market, you exchange one asset, for example, fiat currency to get cryptocurrency. It means you become an owner of coins/tokens you bought or some fraction of it.
The current price of cryptocurrency is called spot price or spot market rates, meaning it is a price at which you can buy and sell assets immediately. The spot price is constantly changing because market participants create their buy and sell orders in the market. If there is more demand from buyers than sellers, then the price may go up and vice versa. In liquid markets, the spot price can change in seconds because orders get filled and new ones occur rapidly.
The cryptocurrency spot market is available 24 hours a day and 7 days a week, so you can trade cryptocurrencies whenever you want.
The main advantage of the spot market is in its immediate purchase, payment, and delivery of the asset. For this reason, the spot market tends to be active and liquid but it still depends on the asset and market where it trades.
The general spot market disadvantage is that you need to take delivery of the asset. It may be difficult for some assets but not for crypto. Because when you buy crypto in the spot market, it is just sent to your CEX.IO balance.
CEX.IO ecosystem offers a crypto exchange that allows users to trade in the spot market. You can place orders to buy and sell cryptocurrencies on the Trade page. To access spot trading, log in to your CEX.IO account and navigate to the Spot Trading Portal, where you can explore various trading pairs and initiate trades. Spot trading fees are usually calculated based on your transaction volume and user tier. For eligible users, a promotional 0.1% reduced trading fee may be available. To activate the 0.1% fee, log into your Spot Trading account through the portal mentioned and check your eligibility. For currency conversion, such as USD to GBP, you can use spot trading by first purchasing USDC (USD Coin) 1:1 using USD through the USDC-USD trading pair. Then, use USDC to buy GBP by selecting the USDC-GBP trading pair. It is important to ensure your account is verified to use all trading features. Additionally, fees and promotions may change, so regularly reviewing updates on the Spot Trading page is recommended.