Basics of Trading and Finance (Part 25) : Trading and Finance Terminology : E (96-100)

in Tron Fan Club6 months ago

Intro

As a moderator of the Tron Fan Club community, I regularly write various tutorials on crypto blockchain and Tron related matters. The main purpose of these tutorials is to make our new users aware of these topics. In continuation of that I am writing tutorials on trading and finance. Hope you can easily learn some details of trading and finance through this tutorial series.

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Trading can feel scary if you don't know much about it. That’s why I bring you simple tutorials to help you understand trading basics step by step. Trading involves buyers and sellers, prices, and exchanges. Today, let's learn five important trading terms starting with the letter "E."

96. EPS (Earnings Per Share)

EPS indicates how much profit a company makes for each share of its stock. It’s a simple way to measure a company’s success. Let give a short example of it. If a company earns $100,000 in profit and has 10,000 shares, the EPS would be $10. Higher EPS means better profits for investors.

97. Equity

Equity is the part of something you truly own after paying off debts. In finance sector, it's the value of a company owned by shareholders. Think of it like owning 40% of a shop you invested in. If the shop makes money or grows, your share gains value. In crypto, "equity" may refer to your stake in decentralized finance projects.

98. Ether (ETH)

Ether is the currency used to power the Ethereum blockchain. Just like you need cash to buy goods, you need Ether to pay for transactions on Ethereum, like minting NFTs or deploying smart contracts. If you buy an NFT for 0.05 ETH, that’s using Ether. Its short form is ETH.

99. Exchange

A crypto exchange is like a marketplace where you buy, sell and trade digital coins like Bitcoin, Ether etc. It’s similar to a stock market but for cryptos. For example, Binance is a very popular crypto exchange in current World.

100. Exchange Rate

Exchange rate is how much one currency is worth in another. If you visit the U.S. from Bangladesh, you check how many Takas equal 1 dollar. In crypto, its how much Bitcoin is worth in Ether or USD. If 1 BTC = 30 ETH, that’s the exchange rate.

These were some important terms in trading and crypto starting with "E." Learning them will help you trade more confidently. Thanks.



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Upvoted! Thank you for supporting witness @jswit.

 6 months ago 

I agree with you that trading can be difficult if you dont know about the basics and this is why before anyone starts trading the person must have gone through the basic information as well as should also have I strategy in place to play it well.

One of the things that I have come to discover that is affecting a lot of people is the fact that they just rushed to trading without not having the necessary knowledge about how it works

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