Hey ninja’s, how’s the trading going? On the day, most of the top cryptocurrencies are reporting moderate losses. The largest cryptocurrency bitcoin is reporting 1.07% daily losses at press time and is trading at $8,407.
The United States branch of top cryptocurrency exchange, Binance, has launched an over-the-counter (OTC) portal for trades above $10,000. News of the new development was announced officially on the 11th of May. Binance clarified in a FAQ that OTC trades will be negotiated directly between the buyer and seller and details of the transaction will not be available in Binance's public order books. The new platform will enable users to move large sums privately and without the potential to affect the market.
The new OTC platform currently supports only 12 cryptocurrencies and the US Dollar (USD), noting that withdrawals in USD are only available to users who pass the level 3 verification. Level 3 reportedly has the most-strict KYC requirements on the platform. The post also explains that all OTC settlements will be sent directly to the user's Binance.US account.
The post made clear that although users will not be charged fees for OTc trades there will be spreads, meaning that the price offered will be higher or lower than the market price depending on if a customer is buying or selling.