What is an exchange spread?

An exchange spread is the difference between two prices: the price the seller is asking, and what the buyer is willing to pay.

There is no set spread, even when you are swapping between the same two assets. Spreads change based on liquidity and market conditions at the time you’re making a swap. When markets are more volatile, spreads will be wider.

Although spreads can vary greatly based on market conditions, in Exodus, the exact amount of crypto you will be swapping and the exact amount of crypto you will receive will be shown to you up front. Before proceeding, you can decide if you still want to make the swap.

What causes a spread to be higher?

A high spread means there is a bigger difference between what the seller asks for and what the buyer is willing to pay.

Higher spreads can happen when:

• The market is more volatile (i.e. the price is fluctuating rapidly)
• You’re swapping less popular assets where there are not a lot of buyers and sellers (i.e. less liquidity)

What causes a spread to be lower?

A low spread means there is a small difference between what the seller asks for and what the buyer is willing to pay.

Lower spreads can happen when:

• The market is less volatile (i.e. the price is stable)
• You’re swapping more popular assets where there are a lot of buyers and sellers (i.e. more liquidity)