How does crypto OTC trading work?

3 answers

• Jan 14, 2022 · 3 years ago
  Crypto OTC trading, or over-the-counter trading, is a method of trading cryptocurrencies directly between two parties without the involvement of an exchange. In this process, large trades are executed off-exchange, allowing for greater privacy and flexibility. OTC trading is typically used by institutional investors, high-net-worth individuals, and miners who want to buy or sell large amounts of cryptocurrencies without impacting the market. It involves negotiating prices and terms directly with the counterparty, and the transactions are settled bilaterally. OTC trading desks or brokers facilitate these transactions, providing liquidity and matching buyers with sellers. The process usually involves the transfer of funds and cryptocurrencies through secure escrow accounts to ensure a safe and smooth transaction. OTC trading can be advantageous for those who require large liquidity or have specific trading needs that cannot be met on traditional exchanges.
  968484
• Jan 14, 2022 · 3 years ago
  Crypto OTC trading works by allowing buyers and sellers to trade cryptocurrencies directly with each other, bypassing the order book of an exchange. This method is often used for large trades that would otherwise cause significant price movements on the open market. OTC trading desks or brokers act as intermediaries, connecting buyers and sellers and facilitating the transaction process. The parties involved negotiate the price and terms of the trade, and once an agreement is reached, the trade is executed. OTC trading offers greater privacy and flexibility compared to trading on exchanges, as the transactions are not visible on the public order book. It is important to note that OTC trading may involve higher fees compared to trading on exchanges, as the service provided by the OTC desk or broker comes at a cost. However, for those who require large liquidity or have specific trading needs, OTC trading can be a valuable option.
  942314
• Jan 14, 2022 · 3 years ago
  At BYDFi, we offer OTC trading services for cryptocurrencies. Our OTC desk provides a secure and efficient platform for institutional investors and high-net-worth individuals to trade large volumes of cryptocurrencies. We ensure privacy and confidentiality throughout the trading process, and our experienced team is dedicated to providing excellent service and liquidity. With BYDFi's OTC trading services, you can access competitive prices and execute trades seamlessly. Contact our OTC desk for more information on how to get started with crypto OTC trading.
  561141