Explainer
What is OTC trading?
OTC trading lets you execute a large crypto trade directly with a dealing desk at one agreed price, instead of pushing it through a public exchange. Here is what that means, and when it is worth it.
BTC / EURIn brief
What is OTC crypto trading?
OTC (over-the-counter) crypto trading is executing a trade directly with a dealing desk at an agreed price, rather than on a public exchange order book. It’s used for large or sensitive trades, where pushing size through an exchange would move the price against you. The desk quotes a firm price for the full amount and settles bilaterally.
How it works
How an OTC trade works
- 1
Request a price
You tell the desk the pair, direction and size, by phone, email or online.
- 2
The desk quotes firm
The desk sources liquidity across venues and quotes one firm price for the whole order, held for a short window.
- 3
Accept and lock
Accept the quote and the price is locked for the full amount, with no slippage as it fills.
- 4
Settle bilaterally
The trade settles directly to your whitelisted wallet or bank account, in crypto or fiat.
Why not just use an exchange?
One firm price, or a price that moves against you
Your order eats the book level by level, so the price climbs as it fills.
The desk quotes one firm price for the whole block. It fills at that price, start to finish.
The Xchange360 OTC desk
Trade size at a firm price, on regulated rails
Xchange360 runs a regulated OTC desk: request a price by phone, email or online, get one firm quote for the whole order sourced across venues, and settle to your whitelisted wallet or bank account.
See the OTC deskWhen OTC is worth it
Large or block-size orders that would move an exchange price
Trades where you want a firm price before you commit
Sensitive trades where discretion matters
Illiquid pairs or corridors a public book prices poorly
FAQ
Common questions
Why not just use an exchange?
A large order on an exchange eats through the order book and slips the price. An OTC desk prices the whole block at once, sourcing liquidity across venues to avoid that market impact.
Is OTC only for huge trades?
It’s most valuable for size, price certainty or discretion. For small, routine trades a public exchange is usually fine.
How is the OTC price set?
The desk aggregates live pricing across the venues and liquidity providers it works with, then quotes a single firm rate for your full size, held briefly for you to accept.
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