What is a cryptocurrency pair?
When you start trading cryptocurrencies, you'll likely encounter a large number of trading pairs consisting of two cryptocurrencies, such as BTC/USDT, ETH/USDT.
A cryptocurrency pair is a transaction ratio consisting of two cryptocurrencies, such as BTC/USDT, where USDT is the quote currency and BTC is the trade currency.
In spot trading, let's take BTC/USDT as an example. Through this set of trading pairs, you can use USDT to buy BTC, or sell BTC for USDT.
Common classifications of cryptocurrency pairs
With the rapid development of the industry, the types of cryptocurrencies available are increasing. As a result, the demand for exchanges between different cryptocurrencies is also rising.
Based on users' habits, usage frequency, and other characteristics, a platform will classify trading pairs to help users quickly find suitable trading pairs. Among them, the most commonly used trading pairs are denominated in stablecoins. In other words, the quote currency in the pair would typically be a stablecoin.
What is a stable currency?
People are used to measuring the price of goods or assets in fiat currency, including digital assets. Although many NFTs issued based on Ethereum are denominated in ETH, buyers will still convert them into stable currency prices to estimate the legal currency value of NFTs. The price of legal currency is stable, which is convenient for valuation, exchange, and value storage.
A stablecoin is the name of a cryptocurrency that's been created and pegged to fiat currencies and other commodities to reduce its volatility. Common anchored assets include U.S. dollars (USDT, USDC, DAI, etc.), euros (EURT, etc.), gold (PAXG, etc.) and other assets. At present, the most common anchor asset is the U.S. dollar, meaning stablecoins are most often pegged to the U.S. dollar.
What are the commonly used cryptocurrency pairs?
In spot trading, the exchange usually divides cryptocurrency pairs into four categories according to different quote currencies: USDT, USDC, USDs (such as denominated in DAI, USDK), and crypto (such as denominated in BTC, ETH, OKB, etc.) .
How to accurately search for cryptocurrency pairs?
You can search for the cryptocurrency pair you want to trade on our markets page.
Disclaimer:
THIS ARTICLE IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY. IT IS NOT INTENDED TO PROVIDE ANY INVESTMENT, TAX, OR LEGAL ADVICE, NOR SHOULD IT BE CONSIDERED AN OFFER TO PURCHASE OR SELL OR HOLD DIGITAL ASSETS. DIGITAL ASSET HOLDINGS, INCLUDING STABLECOINS, INVOLVE A HIGH DEGREE OF RISK, CAN FLUCTUATE GREATLY, AND CAN EVEN BECOME WORTHLESS. YOU SHOULD CAREFULLY CONSIDER WHETHER TRADING OR HOLDING DIGITAL ASSETS IS SUITABLE FOR YOU IN LIGHT OF YOUR FINANCIAL CONDITION. PLEASE CONSULT YOUR LEGAL/TAX/INVESTMENT PROFESSIONAL FOR QUESTIONS ABOUT YOUR SPECIFIC CIRCUMSTANCES.
© 2024 OKX. This article may be reproduced or distributed in its entirety, or excerpts of 100 words or less of this article may be used, provided such use is non-commercial. Any reproduction or distribution of the entire article must also prominently state: “This article is © 2024 OKX and is used with permission.” Permitted excerpts must cite to the name of the article and include attribution, for example “Article Name, [author name if applicable], © 2024 OKX.” No derivative works or other uses of this article are permitted.
Information about: digital currency exchange services is prepared by OKX Australia Pty Ltd (ABN 22 636 269 040); derivatives and margin by OKX Australia Financial Pty Ltd (ABN 14 145 724 509, AFSL 379035) and is only intended for wholesale clients (within the meaning of the Corporations Act 2001 (Cth)); and other products and services by the relevant OKX entities which offer them (see Terms of Service). Information is general in nature and should not be taken as investment advice, personal recommendation or an offer of (or solicitation to) buy any crypto or related products. You should do your own research and obtain professional advice, including to ensure you understand the risks associated with these products, before you make a decision about them. Past performance is not indicative of future performance - never risk more than you are prepared to lose. Read our Terms of ServiceTerms of Serviceand Risk Disclosure Statement for more information.
