What is the difference between over the counter bitcoin trading and exchange trading?

3 answers

• Dec 26, 2021 · 3 years ago
  Over the counter (OTC) bitcoin trading refers to the process of buying and selling bitcoin directly between two parties without the involvement of an exchange. This method allows for larger transactions and provides more privacy compared to exchange trading. However, OTC trading may have lower liquidity and can be less secure as it lacks the regulatory oversight provided by exchanges.
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• Dec 26, 2021 · 3 years ago
  Exchange trading, on the other hand, involves buying and selling bitcoin through a centralized platform known as an exchange. This method offers higher liquidity, as there are multiple participants trading on the exchange. Additionally, exchanges provide a level of security through their compliance with regulations and implementation of security measures. However, exchange trading may have limitations on transaction size and may require users to go through a verification process.
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• Dec 26, 2021 · 3 years ago
  BYDFi, a leading digital currency exchange, provides both over the counter (OTC) bitcoin trading and exchange trading services. With BYDFi's OTC trading, users can enjoy the benefits of direct transactions and enhanced privacy. On the exchange trading side, BYDFi offers high liquidity and a secure trading environment. Whether you prefer OTC or exchange trading, BYDFi has you covered.
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