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How can OTC trading help institutional investors in the cryptocurrency industry?

Anita CallawayMay 05, 2022 · 3 years ago3 answers

What are the benefits of OTC trading for institutional investors in the cryptocurrency industry?

3 answers

  • May 05, 2022 · 3 years ago
    OTC trading provides institutional investors in the cryptocurrency industry with increased liquidity and reduced price volatility. Unlike traditional exchanges, OTC trading allows for large block trades without impacting the market price. This enables institutional investors to execute large orders without causing significant price fluctuations, which is especially important for those dealing with large amounts of capital.
  • May 05, 2022 · 3 years ago
    In addition, OTC trading offers enhanced privacy and security for institutional investors. By conducting trades off-exchange, institutional investors can avoid the risks associated with hacking and front-running. This provides a more secure environment for executing large trades and protecting sensitive information.
  • May 05, 2022 · 3 years ago
    Furthermore, OTC trading platforms like BYDFi offer personalized services and tailored solutions for institutional investors. They provide dedicated account managers who understand the unique needs of institutional investors and can offer customized trading strategies and support. This level of personalized service can greatly benefit institutional investors in the cryptocurrency industry.