Trading

Slippage

The difference between the price you expected on a trade and the price it actually executed at.

Slippage is the gap between the price you saw and the price you got. It happens when a market moves between order and fill, or when your order is too large for the available liquidity and eats deeper into the book. A buy fills higher than planned; a sell fills lower.

It bites hardest in fast markets and thin coins. Decentralized exchanges let you set a slippage tolerance, often 0.5% to 1%, to cap the damage; set it too tight and the trade fails, too loose and bots can sandwich you. Either way, slippage is a real, recurring cost.

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