Contemporary Challenges of OTC Trading in Digital Assets

摘要

As the world population at large begins to comprehend the depth and prospective impact of blockchain technology, the demand for purchasing cryptocurrency has been steadily increasing. OTC trading, also known as over-the-counter trading or off-exchange trading, is a digital asset trading service that is traded through a private, peer-to-peer, dealer network as opposed to a centralized, formal exchange such as the New York Stock Exchange (NYSE). Currently, the value of institutional daily cryptocurrency traders, which frequently make large-block transactions on a bi-lateral basis, is about two-to-three times the value of exchanges. As more institutional investors, large firms, and other major players enter the cryptocurrency market, the volume of large quantity cryptocurrency trades has been steadily increasing. According to a report by Reuters, OTC cryptocurrency desks frequently facilitate over $100 million USD in transactions daily.