Our OTC Trading Services provide solutions to the outdated trading services through –
- 1. High transaction volume platform featuring a pool of algorithms
- 2. Customised crypto search through advanced analytics tools
- 3. Global network of verified trading desks and exchanges
- 4. End-to-end crypto trading solution
- 5. Efficient software which has replaced the traditional long, slow & lengthy trading process.
PlatinX Technology excels in providing end-to-end platform, first of its kind in the crypto world. Our aim is to ensure global reach by targeting trading desks and brokers from around the world. Our team has decades of experience in OTC trading, crypto liquidity and market making.
What is Over-the-Counter (OTC)?
OTC is trading happening directly between two parties without the involvement of exchange. It is a direct medium of exchange and no one beyond the involved parties are privy to price and volume in which various assets are traded. Simply put OTC desk deal in immense volumes with seeming opacity, outside the periphery of the public eye.
What is Crypto OTC?
Crypto OTC is when trading of crypto is involved directly between the two parties. That trade can be crypto-to-crypto or Fiat-to-Crypto. The trade always occurs between a dedicated trading desk with the involvement of another institution who is providing OTC services, known as counter party.
Why do Crypto OTC Services exist?
Buying or selling huge volume of crypto is difficult. Mainly because no single entity sells huge volume all alone and when buying from different traders, you would become a victim of slippage. The first trade would be at market price but subsequent ones would be at higher market price because the trading would increase investors interest. And soon the last lot would be available at a much higher price than what you have started with. This is known as Slippage.
So it is better to spread your purchase through multiple exchanges. Hence OTC services. These would quote you one price and would get all the required volume of crypto at that price for you. They excel at sourcing large volume of crypto assets.
How does a Principal desk works?
Some OTC Service providers use this method where they source whatever crypto you are buying through their own funds. They assume the risk in this process. The risk is that they have to source the crypto assets in a way they can make a profit and not end up incurring huge losses. Once agreed upon assets are purchased, the client would wire the money and get the crypto assets in his wallet as per agreement.