How do OTC crypto exchanges work?

3 answers

• Monroe DodsonSep 28, 2021 · 4 years ago
  OTC crypto exchanges work differently from regular exchanges. While regular exchanges facilitate trading through an order book, OTC exchanges match buyers and sellers directly. This allows for larger trades and better price negotiation. OTC trades are usually conducted off-exchange, with brokers or market makers acting as intermediaries. They provide liquidity and ensure the smooth execution of trades. OTC exchanges are popular among institutional investors and high-net-worth individuals who require large trade sizes and privacy. They offer advantages such as reduced slippage, faster settlement, and personalized service.
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• student e09cd5deFeb 24, 2022 · 4 years ago
  OTC crypto exchanges are like the VIP lounges of the cryptocurrency world. Instead of trading on a public exchange, OTC exchanges offer a more exclusive and private trading experience. They cater to institutional investors and high-volume traders who need to execute large trades without impacting the market. OTC trades are usually negotiated directly between buyers and sellers or facilitated by brokers. This allows for more flexibility in terms of pricing and trade size. OTC exchanges also offer additional services such as escrow and custodial solutions to ensure the security of transactions.
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• Flynn LassiterDec 25, 2024 · 8 months ago
  At BYDFi, we understand the importance of OTC trading in the cryptocurrency market. OTC crypto exchanges work by providing a platform for buyers and sellers to trade large volumes of cryptocurrencies without affecting the market price. Unlike regular exchanges, OTC trades are conducted off-exchange and are not visible to the public. This offers privacy and reduces the risk of price manipulation. OTC exchanges like BYDFi act as intermediaries, connecting buyers and sellers and ensuring the smooth execution of trades. With our extensive network and expertise, we provide competitive pricing, fast settlement, and personalized service to our clients.
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