Popular US cryptoexchange, Bittrex, launches their new OTC (Over the Counter) trading desk. The platform will begin operating from 18:00 UTC, Monday January 14. It will support the same wide range of cryptocurrencies as those available on their standard platform, a competitive range of about 200 coins.
OTC trading desks have the advantage that they directly support transactions between two parties looking to trade, instead of using an order book to match buy and sell orders. It is very popular with institutional traders and those individuals wanting to conduct large volume trades. And Bittrex have their eyes firmly set on attracting professional and institutional investors, providing “guaranteed pricing” for trading volumes over $250, 000 US according to their statement.
As Bittrex CEO, Bill Shihara explained:
“With one of the most extensive selections of digital assets of any OTC desk available, this offering will be another way for Bittrex to further advance adoption of blockchain technology worldwide, while also providing our customers with price certainty and a fast and easy way to trade large blocks of digital assets.”
They join the likes of popular platforms Coinbase and Bitfinex as the latest major player to enter the lucrative OTC market. Bitfinex has had an OTC trading desk since 2016 and one of the largest US-based exchanges, Coinbase, is currently in the process of introducing theirs.
The market is clearly very lucrative and opportunities are obviously there, with Fin Tech company Circle announcing last week that their OTC trading desk made a total of $24 billion in trades in 2018.
Like other trading platforms, Bittrex offers an overseas trading platform and a domestic US site in order to party avoid the sometimes very complicated regulatory environment and offer international traders a wider range of trading options.