![C70F7204-37B2-424F-A7FA-ABBEFCAB88DE.jpeg](https://cdn.steemitimages.com/DQmNkjPX7oqYwDb3mgGf2eD8qYWtSNvvPHFwTgCCamf6jyQ/C70F7204-37B2-424F-A7FA-ABBEFCAB88DE.jpeg) **SO IT GOES** Nothing good comes easy, the introduction and creation of the cryptocurrency ecosystem and the Blockchain network you will agree with me is something very good however, it also does not come easy the world of cryptocurrency is a highly volatile one and it comes with a variety of different risks but because of the good it offers and the opportunity and potential for innovation and transformation of the traditional financial system as we know it we are willing to accommodate these risks and even learn risk management in order to reduce the effects of these risks on ourselves, this is very commendable. One of the many significant risks which the volatile cryptocurrency world is plagued with is slippage. Slippage can simply be defined as the difference between the expected price of a trade and the actual price at which the trade is actually or eventually executed this simply refers to when you see a certain price for a token or cryptocurrency and then you are fine with selling at that price but by the time you have done or are doing all the necessary transactions there has been a change in the price now, this change may occur for different reasons but the main reason is because of the volatile and unpredictable nature of the crypto market. For small trades this change in price might seem little and insignificant but for large scale trades the loss is amplified and the it becomes a significant risk to investors, other reasons for slippage is when a large order is placed on a token, puss or cryptocurrency pair with low liquidity and when transactions is meant to be done on different exchanges the effects of slippage is more painful and obvious that is why I will be discussing some of the disadvantages of slippage at least to create awareness of the issue in this decentralized finance ecosystem and perhaps someone could find a solution.

LOSS OF EXPECTED PROFITS AND REDUCTION OF FINANCIAL GAINS.

Seeing profits you have already calculated and are expecting disappear right in front of your eyes and see your gain financially reduce is the most significant and direct disadvantage of slippage in the cryptocurrency trading market and in the puss network especially when carrying out or trying to execute a large transaction on the puss network the changes in the price or the difference is no longer negligible take for example I was to buy 10 puss at lets 0.01 usdt and then as a result of slippage it becomes 0.00964 the profit lost there is about 0.00036 but if I was to buy one million puss then my loss will be greater becoming a loss of 360 usdt so just imagine. Slippage in the cryptocurrency trading market additionally can cause a kind of challenge or setback because imagine starting a trade where you already envisioned great profits with a loss how does one develop a risk management strategy that guides against this slippage of a thing because honestly it ia undermining the profitability of trading and the efficiency and effectiveness of risk management strategies especially for big time traders and what’s worse is that the risk and effects only increases during periods of increased volatility and market surges. ![12499C6D-F3CA-49D9-9C0A-1ECAA34F34C7.jpeg](https://cdn.steemitimages.com/DQmeyCf5c2dFm6Y3sDBCaYaiFfTfWqGqXEraHv9Lr6cQFuf/12499C6D-F3CA-49D9-9C0A-1ECAA34F34C7.jpeg)

DISTORTION OF MARKET PRICES AND TRADING PATTERNS

Another disadvantage of slippage particularly in larger volumes or scale transactions is that it can cause and lead to market distortion now, market distortion can simply be said to be a kind of unfair or manipulation of prices of tokens and cryptocurrency in the crypto market which could be caused by a number or factors like low liquidity or low trading volume which causes changes of price now imagine when a large buy or sell order is placed on a cryptocurrency with relatively low liquidity the large order can serve as or become an external factor that manipulates and shift the market price of cryptocurrency and tokens this shift in price may occur even before the trade that caused it is fully executed or completed. Furthermore, this disruption can create a ripple effect and causes surges of assets and token prices this can be used to take advantage of the market and its effect also affects other users and traders apart from the trader that executed the initial trade, this can make other traders think that the market is been affected naturally and they misinterpret its movement and meaning and by so doing we can also say that slippage also undermines the integrity of market pricing and makes the market more susceptible to manipulation and misinterpretation.

CONCLUSION

Let the awareness be created now, let everyone know that slippage is a phenomenon in the cryptocurrency market and ecosystem that poses significant risks and is responsible for certain disadvantages and losses and with that let us await for a solution to address or completely remove this slippage, puss coin and the pussfi community can be the first to implement it.