In the context of slot machines, volatility refers to the degree of risk associated with a particular game, influencing the frequency and size of payouts. High volatility slots tend to pay out less frequently, but when they do, the payouts are typically larger, making them appealing to players who are willing to take risks for the chance of big rewards. Conversely, low volatility slots offer more frequent but smaller payouts, which can be more suitable for players who prefer steadier returns and less risk.