LocalCoinBazar.com CryptoCurrency exchange is an instant cryptocurrency exchange providing the best crypto-to-crypto rates on the market.
LocalCoinBazar.com CryptoCurrency exchange is a smooth and simple way to exchange your crypto without getting into complex and tricky trading methods. We pick up the best crypto-to-crypto rate and suggest it our users, and they exchange the Crypto coins instantly, in a few simple steps.
So how do LocalCoinBazar.com CryptoCurrency exchange pick the exchange rates up and what is actually going on when you see a particular rate on our exchange? Let’s go through into this process.
What is Trading process (Where rates come from)
The truth is that even our Brave New World is built upon basic economic principles of supply and demand, and crypto exchange markets are functioning just like any other markets.
This means that a successful deal is possible when the required amount of crypto is offered at the required price, i.e. when the seller’s and the buyer’s parameters meet. Buy orders are known as ASKS(2), and sell orders are known as BIDS(1).
The pyramid peak(3), that represents the difference between the lowest bid(1) buying and the lowest ask(2) selling.
In this particular example, you can see an ETH/BTC pair. It means when you exchange ETH to BTC, it’s a bid (buy), the ETH price goes down. Vice versa, if you exchange BTC to ETH, that’s an ask (selling), the ETH price moves up.
Thus, the more coins you ask for exchanging, the higher price for each one you’ll get. That’s the market’s principle.
Trading pairs and market fluctuation
Trading platforms don’t provide all trading combinations possible. All cryptos traded are paired mainly with BTC or ETH or USDT. For this reason, exchange LTC to NEO will be converted twice via ETH: LTC to ETH and ETH to NEO.
Consider also market dynamics. The scores you can track on various sites like Coinmarketcap, or any other, only represent the average rate calculated on the basis of all the trades committed within a particular period of time. Crypto rate is highly volatile, that might bring you both loss and gain. The less the coin is traded, the higher the volatility. If the coin is traded not so actively, one large transaction can dramatically change its rate, once the order is closed. You should consider these risks when trading crypto.
How exchange works on LocalCoinBazar.com
Now, let’s see how LocalCoinBazar exchange calculates and shows the rates.
You’re on the exchange page of LocalCoinBazar.com , looking for the best exchange rate. You select a crypto and an amount you want to exchange. For example, that’s the Bitcoin/Litecoin(ETH/LTC) pair.
In fact, LocalCoinBazar exchange real time compares the rates at external exchange markets, makes sure that a certain coin or token is available at a certain market and completes the order. All this process is happening in the seconds to show you the accurate real-time rate.
If the rate meets your expectations, you can just click on Proceed button, the process is executed automatically. Note that LocalCoinBazar exchange doesn’t fix the rate, so if the coin is volatile, you can get more or less, depending on the market behavior.
LocalCoinBazar exchange supports over 110 cryptocurrencies you can easily swap between. We are partnered with the large and reputable cryptocurrency trading platforms that provide the most profitable rates. You can take the most out of them without being proficient in CryptoCurrency exchange. Just a few clicks and here you go!