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What different between otc and btc

Osprey Bitcoin Trust is still in the honeymoon phase with investors, and that’s dangerous. If Grayscale seemed outrageous at a 137% premium when there were no other stock exchange-listed alternatives why is Osprey commanding a 152% premium? It closed out the week at nearly $40 with a net asset value of $15.87. The trust actually moved higher last week despite Bitcoin itself taking a big hit.

With just $77 million assets under management the trading will be volatile. Scarcity will make this a bucking bronco. However, given the choice between Grayscale and Osprey right now is there even truly a choice? Yes, there’s a 151 basis point difference in the management fees between the two but it would take roughly a century of ownership to justify paying a 152% premium for Osprey with Grayscale at a slight discount.

$GBTC vs. $OBTC GBTC: Price: $43.20 NAV: $43.81 (1.4% discount) Annual Fee: 2% AUM: $30.7 billion

OBTC: Price: $39.92 NAV: $15.87 (152% premium) Annual Fee: 0.49% AUM: $77 million

If you’re looking at the lower fee and NOT the premium you’re doing it wrong. #Bitcoin

— Rick Munarriz (@Market) February 27, 2021

You can also own Bitcoin directly, and a growing number of fintech platforms are making it easier than ever. If you plan on holding Bitcoin for at least a couple of years it would make sense to just buy in directly. However, if you’re not sure how long you want to be in crypto — and you have an itchy trigger finger — keep in mind that all of the best-known trading platforms including Coinbase, PayPal, and Cash app charge a minimum of 1.5% to 2% on purchases and also the sales. If you think you’ll be in and out within 18 months that’s the kind of speculation that can cost you more in fees than it would buying Grayscale at a broker that offers zero commission trading and seeing 2% a year erode gradually.

Buying Bitcoin directly is the best approach for long-term investors that have done their research, accepting the risks that come with buying into crypto. However, if your choice is down to Grayscale or Osprey as the two available stock exchange-listed trusts Grayscale Bitcoin Trust is the obvious call.

Correction: The original version of this report misstated the year the Grayscale Bitcoin Trust went public. We’re sorry for the error.

How to trade large amounts of Bitcoin on OTC markets

What is the best way to exchange large amounts of bitcoin and is it even possible to buy millions worth of BTC at once?

Most individuals with connections in traditional finance are familiar with OTC markets, or over-the-counter markets where you can access deeper liquidity pools and get fast, reliable, and professional service.

Below is a step-by-step explanation of how to do get started with OTC trading.

  1. Choose Bitcoin OTC broker for your country.
  2. Create an account.
  3. Verify you identity with the KYC process.
  4. Navigate to the OTC desk on the website.
  5. Fill out the form on how many BTC you want to buy.
  6. Choose your preferred way to get in contact, eg. best.

    Where does the XBT ticker come into play?

    Unlike fiat currencies, some assets don’t belong to a specific locality or country. Precious metals like gold (XAU) and silver (XAG) are two such examples. When an asset is ‘supra-national,’ it gets an ‘X’ added to its ticker symbol. These assets are borderless, which also perfectly applies to bitcoin. For this reason, BTC becomes XBT under the ISO 4217 standard.

    However, if the nomenclature mentioned earlier is utilized, bitcoin could also have the ticker BTN or XBC. Why didn’t that happen?

    The simple reason is that those ticker symbols were already taken. BTN represents the Bhutanese ngultrum, while XBC represents the bond market unit E.U.A.-9 — the European Unit of Account 9.

    Therefore, the only ticker combination left for bitcoin, under the ISO 4217 standard, was XBT.

    What is a cryptocurrency broker?

    A cryptocurrency broker trades your funds through a dealer network. Cryptocurrency brokers are also known as an over-the-counter (OTC) market. Brokers can be individual or platform based but both play a role in finding and pairing buyers and sellers to complete transactions. Typically, using a broker is more flexible and convenient. They also employ a settlement period which is often faster than an exchange. The buyer must complete the payment during the settlement period and the seller must deliver the crypto within the same time frame.

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