When converting your Peso to cryptocurrency, you may notice a difference in the equivalent Peso amount found under your cryptocurrency balance. This is simply because of the price spread between Buy and Sell rates.
Let me give you an example here. I want to buy ETH with my 500 PHP so I click on the Crypto button on my app and click the Convert button at the bottom of my screen.
At this moment, the buy rate of PHP to ETH is 1 ETH ≈ 80,257 PHP. After I click the Slide to convert button, I immediately receive 0.000623 ETH. I also notice that 500 PHP was deducted from my Peso wallet.
I then check my ETH balance and see the 0.000623 ETH in my wallet. However, the equivalent Peso amount under this only shows 482.37 PHP. Why is this no longer equivalent to 500 PHP?
This is because the equivalent Peso amount is based on the sell rate. At the same time I converted my PHP with the buy rate of 1 ETH ≈ 80,257 PHP, the sell rate was 1 ETH ≈ 77,428 PHP.
Will my ETH value ever go back to an equivalent amount of 500 PHP?
Due to volatility of ETH prices, I cannot be 100% sure if my ETH would be equal to 500 PHP again. However, there is still a chance of this possibility in the future if the ETH prices go up and the sell rate reaches 1 ETH ≈ 80,257 PHP (my original buy rate). If the sell rate goes even higher than my original buy rate, then I could even possibly have an equivalent amount of more than 500 PHP.
On the other hand, there is also a possibility that ETH prices may go lower, so my equivalent amount would go below 482.37 PHP. Please note that the equivalent PHP value of your ETH may still change up until you convert your funds to lock in a Sell rate that you find favorable to you.
Disclaimer: Buying cryptocurrencies carries a high level of risk, and may not be suitable for everyone. Cryptocurrency prices are highly volatile and can go up and down in real-time. Make sure to only buy as much as you can afford to lose.
