What are the advantages of using OTC services for cryptocurrency transactions?

3 answers

• Mar 22, 2022 · 3 years ago
  One advantage of using OTC services for cryptocurrency transactions is increased liquidity. OTC desks often have access to a large pool of buyers and sellers, allowing for faster and larger transactions compared to traditional exchanges. Additionally, OTC services can provide better pricing and reduced slippage, as they can negotiate directly with counterparties. This can be especially beneficial for large trades or illiquid assets.
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• Mar 22, 2022 · 3 years ago
  Another advantage is enhanced privacy. OTC transactions are typically conducted off-exchange and can offer more anonymity compared to trading on public exchanges. This can be appealing to individuals or institutions who value their privacy and want to avoid potential market impact from their trades.
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• Mar 22, 2022 · 3 years ago
  At BYDFi, we believe that one of the advantages of using OTC services for cryptocurrency transactions is the ability to access a wider range of digital assets. OTC desks often have access to a variety of cryptocurrencies beyond what is available on public exchanges. This allows traders to diversify their portfolios and take advantage of investment opportunities in lesser-known or emerging digital assets.
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