Blockchain technology and cryptocurrencies, in general, have taken the world by surprise; with over 1500 altcoins currently listed on ‘coinmarketcap’. However, there’s no arguing the fact that several governments and regulators have set their eyes on this new tech, with the aim of monitoring and regulating this seemingly wild market.
Cryptocurrency exchanges now have to deal with compliance issues and customers have to go through KYC processes.
If you’ve been in the market long enough, then you’d agree that these processes may be quite cumbersome. As a matter of fact, I tried verifying my account on one of the popular crypto exchanges for days. I eventually got tired and stopped using their service.
The fact that current exchanges can be slow, restricted to certain currencies, and subject to close scrutiny, has given birth to over-the-counter (OTC) crypto trading. Buyers and sellers can negotiate prices outside an exchange. Although OTC trading has its risks, such as having to deal with scammers, it can break several barriers to buying and selling cryptocurrencies.
One of the largest and oldest OTC bitcoin exchange platforms is LocalBitcoins. However, in this article, we’ll review another OTC exchange which offers more functionality – OTCBTC.
This is what they have to say from their website, “OTCBTC, dedicated to solving all pain points of crypto trading, is a platform where anyone is able to take part in the market”. As a crypto trader, I know some of these pain points include being able to buy cryptos (directly from my bank) in multiple currencies, considering the fact that I am not in the US. Also, having to deal with closer scrutiny from exchanges and regulators (blockchain transactions were meant to be anonymous, remember?). Put differently:
Think of OTCBTC like an eBay or Aliexpress for cryptos. Buyers and sellers interact, making the entire process faster.
With this in mind, let’s dive in to review the platform
Ease of Use: OTCBTC supports both web and mobile usage, through an app. So, you can be sure to perform necessary transactions irrespective of where you find yourself. Their platform is relatively easy to use.
OTCBTC is a combination of an OTC and exchange service. Users enjoy the best of both worlds. Buyers can sort for sellers over-the-counter, using price or ratings as criteria, or simply buy funds on the ‘exchange’ section. Similarly, sellers may decide to sell their coins over-the-counter or quickly sell it on the crypto-crypto exchange.
OTCBTC Tokens: OTCBTC has issued its own token called OTB, which launched along with the crypto exchange. OTB token is an ERC20 token built on Ethereum, it is currently used to pay for exchange fees and allow participants to make investments within OTCBTC ecosystem. The trading fee will be 0.05% when users use OTB.
OTF: A year ago, when I first started taking an interest in cryptocurrency I thought I was so lost in this huge sea of unknowns. Where do I start? Which coins should I invest my money in? I am sure that a lot of crypto newbies would have the same question that I had before.
OTCBTC has launched a new product in May, 2018 called OTF, which is a crypto version of ETF that contains top ten coins within one set. OTF enables crypto beginners to make a steady investment in cryptocurrency market.
Reputation: While this may not be overly important, we’ve seen cases of exchanges getting hacked or simply shutting down, and exiting the market with customers’ money. Yi-Ting Cheng is the CEO of the crypto exchange, and she will be running for mayor of Taipei this year. This adds more credibility to the exchange. You’ll agree that most crypto exchanges are faceless.
Privacy: By simply signing up with your email, you can withdraw up to 1BTC daily. This is a pretty large amount for small and regular traders. Users can protect their identities without having to bother about KYCs, or letting out sensitive information.
Customer Support: Unlike most exchanges that have automated responses and take days to reply, OTCBTC boasts of a standby online support that responds within 5 minutes. You are able to reach their online customer support team from a website or mobile application.
In addition to all of these, OTCBTC supports direct purchases using CNY, KRW, JPY, USD, and HKD. Customers can buy top cryptos like BTC, ETH, EOS, BCH, QTUM, LTC, ZEC, and a host of others. All of these features combined make OTCBTC a reliable and secure exchange for fast purchase or sales of cryptocurrencies.