Over-the-Counter

« Back to Glossary Index

OTC or Over-the-Counter (also called off-exchange trading) is usually defined as a transaction that is made outside of an exchange, often peer-to-peer (P2P) via private trades. It is preferred by the private traders as it generally involves huge transactions, and offers more flexibility and better pricing than what the exchanges can offer. Cryptocurrency derivatives and equities are amongst the financial instruments that are tradable over the counter.  In this regard, Over-the-Counter (OTC) Trading involves the debt instrument, equities as well as derivatives that the financial contracts can derive their value from an underlying asset such as a commodity.

Read More.

« Back to Glossary Index

Check Also

bitcoin-dominance

Bitcoin Dominance: A Greater Aspect Of The Crypto Space

Bitcoin is the largest digital currency in the world as per market capitalization and demands …