When someone decides to buy crypto OTC, they are engaging in an over-the-counter trade made directly with another party. This happens without having to meditate over an exchange, and it also allows them to buy crypto OTC in larger volumes. These crypto deals are private, as they are not done on regular exchanges. Thus, buyers and sellers have better privacy.
NextHash is one of the places where you can buy crypto OTC in larger volumes, allowing anyone to get as much cryptocurrency as they need. With the market growing more and more, buying crypto OTC is a great way to invest in your future. NextHash can help you out in this regard.
Why Should You Buy Crypto OTC?
NextHash allows you to buy crypto OTC in a very convenient and quick way. People who want to buy crypto OTC will be able to do so with more anonymity and privacy, and with no exchange risk. Besides, crypto OTC trading is a better option for traders with a high net worth who are interested in high-volume trades.
It can be quite difficult to buy large crypto asset amounts, which is why NextHash is such an amazing option. It can make things way easier. Basically, even when large corporations want to buy every asset in a single exchange, it is highly unlikely for one entity or user to sell hundreds of cryptos at the same time. Things are different from traditional brokers.
When any institution would still try to purchase in a single exchange, they would only receive a percentage of the asset at the current market rate. They would then end up buying a larger amount of the buying order left, and at a higher price. This is usually called “slippage”, a process that happens when there are no people selling assets at the usual market price, so you end up buying to distance yourself from the original market price.
Many large buyers spread their purchased asset share to several exchanges to prevent slippage. This is quite difficult, though.
Luckily, buying crypto OTC with NextHash will make things easier and faster, as they are good at sourcing large crypto amounts.
How Does Crypto OTC Work?
Crypto OTC trading is the crypto asset trading process between two parties. The deal is a private one, as it does not happen on any regular exchange.
You can simply imagine two people who are taking part in a negotiation. One of them is someone who has assets available for sale at a certain price. The other one is an individual who wants to buy assets for a certain price. When the two parties eventually agree on the price of the exchange or trade for which they met, the trade can take place.
Crypto OTC trades can come in two types: they can either be fiat-to-crypto trades, where fiat is swapped for a cryptocurrency or vice versa, or crypto-to-crypto where, as you can already guess, one cryptocurrency is swapped with another.
To make the crypto OTC transaction happen and allow an individual to buy crypto OTC, you need a “desk”. Desks are professional platforms that can directly deal with crypto sellers or buyers. Desks could be either Agency or Principal.
Principal desks use their own funds to buy the solicited assets after customers make the request. This also means that they assume the risk on the customer’s behalf.
Meanwhile, Agency desks do not assume the market risk as they don’t use their own funds to trade. Customers are the ones paying a fee to the desk, which allows it to act on their behalf.
Besides, crypto OTC trading comes with high liquidity. So, it can be very beneficial to buy crypto OTC this way, as there is less risk associated thanks to the fact that there will always be someone willing to sell you their crypto.
Buying Crypto Traditionally vs Crypto OTC
There are two ways to organize financial markets: exchange markets and OTC markets.
Exchange markets are mediators between a seller and a buyer and help facilitate the financial assets trade between the two parties. This happens publicly, while the different financial asset prices can be seen on dedicated websites, and the transactions are displayed publicly. Traditional stock markets need a physical location in order to take place.
Meanwhile, when you want to buy crypto OTC, things will be different, as OTC markets have no physical location. They only operate online. OTC markets consist of a networking group that dealers and brokers manage online. OTC markets could also refer to a group of companies that operate as market makers.
A Step-by-Step Guide to Buying Crypto through OTC
Buying crypto through OTC is not difficult if you know how and where to buy it. Here are the steps you should go through to buy crypto OTC.
1. Decide Upon an OTC Brokering Platform
The first step is finding a good OTC trading desk to be able to buy crypto OTC. You can search for it online. NextHash is one of these platforms. It allows you to buy large crypto volumes very quickly.
2. Discuss the Terms
In order to buy crypto OTC, you will have to mention the amount and type of cryptocurrency you wish to buy. Also, mention the desired place and time.
3. Decide on a Price
The seller will offer a price and then you can start negotiating. When you eventually agree on a price, the transfer can occur.
Buy Crypto OTC on Nextinter Trading Platform
The Nexinter trading platform is great for crypto OTC as it is a reputable, regulated fiat-crypto exchange. You can buy different digital assets based on the market value in real-time, and you can choose from very popular cryptocurrencies.
The fees are very low, and you will have the opportunity to reach your goals with no issues. High-volume traders can also receive special discounts.
So, what are you waiting for? Buying crypto OTC has never been easier. NextHash makes it possible for you to buy high-volume crypto assets and work towards a bright future.