Color Up
To color up is to exchange chips for fewer chips of a higher denomination.
The simple explanation
When you have lots of small chips, you can color up by trading them for bigger chips. In a cash game, it is a simple exchange with the floor. In tournaments, small chips are removed from play as the blinds rise. A good moment to color up is when you notice that your stack has grown big and unwieldy.
A closer look
In a tournament, the process is done during a break, so that all players are treated fairly. Chips that do not fit into the larger denomination are raced off in a chip race. Coloring up reduces the number of chips on the table and keeps stacks easy to read. In cash games it also describes leaving with larger chips instead of cash. In tournaments, you do not have a choice. The floor announces when low-value chips will be removed and carries out the exchange.
A practical example
At the break, players color up their 100-chips into 500-chips, and the 100-chips are taken off the table.
Full explanation
To color up is to exchange chips for fewer chips of a higher denomination.
To color up is to replace small chips with fewer chips of a higher value. In a cash game, you simply ask the floor. In a tournament, it is a procedure for all players, usually done during a break.
The leftover chips that cannot be exchanged exactly are decided in a chip race. Under the standard tournament rules a player cannot be eliminated in a chip race.
Coloring up helps with counting and handling stacks, particularly late in a tournament when stacks are large.
After coloring up, check the new stack carefully, so you know exactly how many chips of each color you have.
Alternative spelling: colour up, color-up, colour-up