Could Binance OTC Trading Be the Right Choice for You?
Main Takeaways
Binance OTC trading lets you trade directly with the Binance OTC desk for a specified amount and price. It helps remove the risk of slippage and other spot-related risks.
Binance OTC allows you to request quotes and use various tools and services to start trading OTC.
Trading OTC via the desk and our products allows high-volume traders to secure more favorable prices.
For VIPs, institutional clients, and large-volume traders, OTC trading can provide additional benefits when trading cryptocurrencies.
We're all looking for an affordable, reliable, and smooth crypto trading experience. But did you know that more options are available than just trading on spot markets? Spot exchanges are one such method, but you could experience additional benefits when trading OTC (over-the-counter). Sounds interesting? Read on to learn more about OTC trading and who can benefit most from OTC services and products.
What Is OTC Trading and Why Use It?
OTC trading occurs directly between two parties outside an exchange's order book. With Binance OTC, you'll trade with the Binance OTC desk rather than matching your orders with those placed by other Binance users. There are several reasons why using an OTC service could be preferable for you:Â
It allows you to access competitive trade prices with zero fees.Â
You don't need to interact with an exchange order book, helping to remove the risk of slippage. Slippage occurs when a trade clears at an average price different from what you expected.Â
You can save on execution costs and prevent information leakage to the market. On an order book, everyone can see the exact amount and trade parameters you've set.
You can settle your trade instantly.
You may be wondering, then, why doesn't everyone trade OTC?Â
Binanceâs minimum OTC transaction size is $200k, however smaller ticket sizes are advised to use our Convert Portal, which can be found here.
Some users may prefer to use features including stop-limits, limit-orders, trailing-stops etc which are only available trading via the spot orderbook.
Where Can I OTC Trade on Binance?
Binance offers various ways to trade OTC, including:Â
Chat communication channels.
The Binance Spot Block Trading platform for manual price quotations where you can submit RFQs (request-for-quote).
Binance Convert and the Binance Convert OTC API for automated price quotations.Â
Email us at trading@binance.com to contact our trading desk.
Let's examine some of these options and how you can best use them to your advantage.
Binance Convert
If you're looking for a quick and easy OTC avenue, Binance Convert and its API provide automated quotes across 60,000+ pairs with a simple click. The feature supports over 350 listed tokens and fiat pairs, and you can trade between any listed token, even if the pair isn't listed on the spot exchange. Here, you can start OTC trading with as little as 1 USD and see if it suits you.Â
To use Binance Convert, navigate to the Binance Convert page. Next, select the coins you wish to trade, then preview and confirm the quote. Your final settlement will be in your Binance wallet within seconds.Â
Please refer to our Convert Endpoints for details and access to the Binance Convert OTC API. You can contact trading@binance.com via email if you have any questions or require assistance.
Direct trading with the Binance OTC trading deskÂ
To make a large OTC trade (over 200,000 USD), you can communicate and trade 24/7 with the Binance OTC desk. Our team is available around the clock with tight, competitive spreads! To get started, visit the Binance OTC page for a complete list of products and services offered by our team. You can also request a quote from the Binance Spot Block Trading page. An OTC team member will get in touch to discuss your needs further.
OTC Trading Is Just a Few Clicks Away
You can easily start experimenting with OTC trading in just a few clicks. Depending on your needs, as described earlier, you may find it more beneficial than using the spot markets. Binancians already have multiple options to choose from, accessible with their account. To learn more about the process and how OTC can work for you, don't hesitate to contact us or refer to the following articles below.
Further Reading
Risk Disclaimer: Digital asset prices are subject to high market risk and price volatility. The value of your investment may go down or up, and you may not get back the amount invested. You are solely responsible for your investment decisions and Binance is not liable for any losses you may incur. Past performance is not a reliable predictor of future performance. You should only invest in products you are familiar with and where you understand the risks. You should carefully consider your investment experience, financial situation, investment objectives, and risk tolerance and consult an independent financial adviser prior to making any investment. This material should not be construed as financial advice. For more information, see our Terms of Use and Risk Warning.