What is the meaning of OTC markets in the context of cryptocurrency?

3 answers

• Anh PerserverAug 14, 2021 · 4 years ago
  OTC markets, also known as over-the-counter markets, refer to decentralized platforms where individuals can trade cryptocurrencies directly with each other without the involvement of a centralized exchange. Unlike regular cryptocurrency exchanges, OTC markets allow for larger trades and offer more privacy. They are often used by institutional investors and high-net-worth individuals who want to buy or sell large amounts of cryptocurrencies without affecting the market price. OTC markets provide a way to execute trades off the order books, which can help prevent slippage and reduce market impact. However, OTC trades may come with higher fees and counterparty risks compared to trading on traditional exchanges.
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• Nicolas EymaelJan 14, 2021 · 5 years ago
  OTC markets in the context of cryptocurrency are like the back alleys of the crypto world. Instead of going to a fancy exchange with order books and trading charts, you can meet up with someone in a dark alley and trade your digital assets directly. It's like a secret club for big players who want to make big trades without attracting too much attention. OTC markets offer more privacy and flexibility compared to regular exchanges, but they also come with their own risks. You need to be careful who you trust and make sure you're getting a fair deal. It's like playing poker with the big boys, so be prepared to bring your A-game.
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• Appel MelendezMay 05, 2025 · 3 months ago
  In the context of cryptocurrency, OTC markets are decentralized platforms where individuals can trade cryptocurrencies directly with each other. These markets operate outside of traditional exchanges and provide a way for large-scale trades to take place without impacting the market price. OTC markets are often used by institutional investors and high-net-worth individuals who want to buy or sell large amounts of cryptocurrencies. They offer more privacy and flexibility compared to regular exchanges, but they also come with higher fees and counterparty risks. OTC markets can be a useful tool for executing large trades efficiently, but it's important to do your due diligence and understand the risks involved.
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