Concept 1

What is USDT?

USDT (Tether) is a stablecoin, where 1 USDT ≈ 1 USD, and its price remains largely stable.

You can think of it as "digital dollars" — exchange your fiat currency (like RMB) for USDT, then use USDT to buy cryptocurrencies like Bitcoin and Ethereum.

Why use USDT instead of buying crypto directly with fiat?

  • Most trading pairs are priced in USDT (e.g., BTC/USDT, ETH/USDT)
  • When the market drops, you can convert your coins back to USDT as a "safe haven" without needing to withdraw
  • USDT transfers are faster and have lower fees than fiat transfers
💡 Tip for beginners: On your first deposit, convert your fiat to USDT first, then use USDT to buy coins. This is the clearest path to follow.
Concept 2

Market Order vs Limit Order

When buying coins on Binance, you'll see two main order types:

Market Order

Executes immediately at the current market price. Simple to use, great for beginners. The downside is you can't control the price, and you might buy at a higher price during volatile markets.

Limit Order

You set a target price, and the order only executes when the market reaches that price. This lets you control your buy price, but the order may not fill.

Tip for beginners: Start with market orders — they're simple and don't require waiting. Learn about limit orders once you're more familiar.

⚠️ Beware of Slippage: Market orders on low-liquidity coins can experience "slippage" — where the actual fill price is higher than the displayed price. For major coins (BTC, ETH), slippage is minimal and can be ignored.
Concept 3

Where Do Your Coins Go After Buying?

Coins you buy on Binance are stored by default in your Binance Spot Wallet. You don't need to do anything — your coins are there.

Regarding storage, beginners typically have two options:

  • Keep on the exchange (Binance): Convenient for trading, but requires trust in the exchange's security. Suitable for short-term holding or frequent trading.
  • Transfer to your own wallet: You have full control, but you must securely store your private keys/seed phrase. Suitable for long-term holding of significant assets.

For beginners just starting out, it's fine to keep your coins on Binance for now. Consider self-custody wallets once you're more experienced.

💡 Start Small: For your first purchase, start with a small amount (e.g., the equivalent of 100 RMB in USDT) to get familiar with the entire process before increasing your investment.

Complete Beginner's Guide to Buying Crypto for the First Time

  1. Complete registration and KYC verification
  2. Enable security settings like 2FA
  3. Use C2C or Quick Buy to purchase USDT with your fiat currency
  4. On the Spot Trading page, select the BTC/USDT trading pair
  5. Choose "Market", enter the amount of USDT you want to spend, and click "Buy BTC"
  6. Confirm the trade, then check your holdings in the "Spot Wallet"
⚠️ Risk Warning: Cryptocurrency prices are highly volatile. Beginners should only use spare funds, never borrow money to invest, and never put all your savings into crypto. Start small, understand the rules, then consider adding more.