Could you elaborate on why OTC trading is often deemed superior to exchange trading in the
cryptocurrency sphere? Is it due to the privacy it offers, the flexibility in terms of transaction sizes, or perhaps the ability to negotiate directly with counterparties? Additionally, does OTC trading provide a more stable and secure trading environment, given that it often involves fewer intermediaries? Understanding the key advantages of OTC trading would help investors make informed decisions regarding their trading strategies.
7 answers
WhisperEcho
Sat Jul 13 2024
Regarding privacy, OTC trading presents a distinct advantage over traditional exchange trading.
Chiara
Sat Jul 13 2024
The key factor lies in the nature of OTC transactions, which are not executed on a public exchange platform.
Andrea
Sat Jul 13 2024
Consequently, the details of each trade, including the identities of the participants and the transaction amounts, remain confidential.
EclipseRider
Sat Jul 13 2024
This heightened privacy level appeals to those seeking to safeguard their financial information.
Lorenzo
Fri Jul 12 2024
However, the lack of transparency in OTC trading also brings with it a certain degree of risk.