What is Otc Trading Crypto?

Category: Crypto

1Definition

Over-the-counter cryptocurrency trading done directly between parties, not on exchanges.

2Context

Used for large trades to avoid market impact. Requires trusted counterparties.

3Example

A whale selling $10 million in Bitcoin might use OTC trading to avoid crashing the price.

Common Trap

OTC trading has counterparty risk—ensure the other party will deliver.

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