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Are you looking to place a large Bitcoin or crypto order?
As cryptocurrency continues its rapid ascent in popularity, traders of all sizes are being attracted to the crypto market.
With crypto reaching a more mainstream market, large volume orders are on the rise. While traditional crypto exchanges provide an arguably unparalleled level of convenience there are challenges they face when handling larger order volumes. This is where OTC cryptocurrency trading can be an effective solution.
Swyftx has a crypto OTC trading desk just for large crypto trades over $100,000. This guide will cover what an OTC or Over The Counter order actually is, what constitutes a large order and how to place yours with Swyftx.
Over the counter orders exist to hedge against slippage when placing large volume orders of digital currency.
Trading over the counter (OTC) refers to a service provided to high-volume traders in which OTC brokers directly handle and execute transactions outside of a public exchange. This is as opposed to a market order, in which you purchase Bitcoin or other cryptocurrencies directly on your trading app or through an exchange.
In the case of crypto OTC orders, this refers to the trade of crypto assets directly between two individuals. A transaction can be crypto-to-crypto (for example, swapping Bitcoin for Ether) or fiat currencies to crypto (swapping AU dollars for Bitcoin and vice versa).
The term “large” is very subjective here. For the purpose of this article though large refers to orders over $100,000 AUD. This is the minimum required to use Swyftx’s OTC trading desk.
When it comes to buying and selling large amounts of Bitcoin and crypto there are challenges.
Often the volume you wish to purchase won’t all be available from one seller on one exchange, so you’ll end up purchasing from multiple people. Initially, your purchases would probably be at a reasonable market price, however, as you purchase more and more there are fewer people willing to sell at the price you want. Ultimately, the last portion you purchase will usually be at a more expensive cost.
This phenomenon is referred to as slippage.
The Swyftx OTC service is relatively straightforward and can all still be done through the Swyftx platform – you’ll just have dedicated brokers to help facilitate the trade.
Head to our OTC page. All the information you’ll need can be found there, including what you’ll need to do for the next step. Which is…
Book a consult. You’ll be able to select your preferred meeting time and be asked to fill out a short form with your contact details and some more information.
One of our industry-leading experts will discuss your desired outcome and the best course of action. Their job is to provide end-to-end support, including initial consultation, trade execution and subsequent ongoing support.
Almost every digital currency listed on the Swyftx cryptocurrency exchange can be bought and sold as an OTC order. This includes Bitcoin, Ethereum, XRP, Cardano, Bitcoin Cash, Litecoin, Dogecoin and more.
If you’re interested or in doubt about a particular currency talk to one of our industry-leading experts on your consult.
If your order doesn’t qualify for Swyftx’s OTC service there’s still a dedicated team on hand to assist you with placing your order.
Swyftx offers Live Chat Support and if you’re newer to crypto or wanting to refine your knowledge the Learn platform is also a good place to start. You can buy bitcoin in Australia and 280+ other digital currencies on the Swyftx trading platform.
You may be wondering at this point where OTC orders are actually executed.
The vast majority of Swyftx OTC orders are, in fact, not executed off the exchange. As Swyftx has a global network of liquidity providers there is the capacity to execute high volume trades within minimal spreads.
This negates slippage even on some of Swyftx’s largest trades.
To further hedge against slippage OTC orders are typically placed over smaller increments, instead of one large transaction order. Swyftx brokers can execute this, and again this all occurs on the exchange.
Users also have the benefit of the platform’s security measures – you won’t have to be as concerned about the lack of regulation or transparency that is also prone in many traditional OTC platforms.
If you’re looking to get started with OTC trading head to our OTC page to book your consult.
Looking to place a smaller volume order? The Swyftx is on of the best cryptocurrency exchanges in Australia as per our Trustpilot reviews. Our trading platform is free to signup and offers a demo mode to trial the platform before you start placing orders. You can get started here.