Crypto OTC trading to get traction due to FTX fiasco, exec says

Before the rise of centralized exchanges (CEX), over-the-counter (OTC) trading was the go-to method for many cryptocurrency investors to buy and sell cryptocurrencies. The collapse of FTX could cause greater demand for crypto OTC services as investors look for alternative ways to convert from fiat to fiat due to a decline in confidence in his CEX.

Cointelegraph spoke with BestChange, a Russian OTC crypto exchange aggregator, to learn more about the current state of the OTC market.

The role of OTC is sometimes underestimated in the comprehensive marketing of centralized exchanges, said Nikita Zborev, chief analyst at BestChange. It serves as a gateway to cryptocurrencies for most users.

Zvorev told Cointelegraph that BestChange users will be able to use an OTC exchange (which acts as a fiat entry into cryptocurrency) to top up their crypto exchange balances or sell cryptocurrencies. portal) services are often relied on.

“If in Central European and North American countries there is a very convenient way to replenish directly from a bank card, in Eastern European and Central Asian countries there is no such option and money changers are still the only convenient way. We deal with cryptocurrencies, said Zwolev.

Executives also noted that the latest industry events could have a positive impact on the crypto OTC segment, stating:

Thanks to the FTX exec debacle, our segment has been able to see a significant influx of users even outside of traditional markets. I expect it to be the year of

Founded in 2007, BestChange enables crypto-to-fiat transactions through Visa and Mastercard cards, as well as services such as PayPal, Payoneer and Skrill. BestChange, which currently operates under the jurisdiction of the Russian Federation, will gradually move its headquarters to Dubai.

Executives stressed that the move has nothing to do with the ongoing geopolitical or other issues in Russia, as BestChange has been planning to expand internationally for some time.

Furthermore, according to Zuborev, BestChange does not expect any pressure from the international community regarding sanctions. The United Arab Emirates continues to remain neutral on geopolitical issues, and secondly, our form of business does not involve handling money, he said. He noted that his OTC crypto exchanges listed on BestChange are located in the Baltics or Central Europe and must comply with local regulations.

Related: Russia plans to launch a ‘national crypto exchange’

BestChange serves several countries including former Soviet Union countries such as Ukraine, Kazakhstan, Georgia and Belarus. According to SimilarWeb data, users in Russia and Ukraine make 48% and 15% of the traffic come from these countries respectively, the highest number of visits on BestChange.

Most centralized exchanges are under pressure from regulators in Europe and North America and our segment primarily serves residents of Russia, Ukraine, Europe, Africa, Asia and Oceania. They are represented by small local services that follow the laws of the country where they are located so that they can be independent of each other, he said.

According to Zuborev, global sanctions against Russia have not had a negative impact on BestChange’s OTC market services, but have instead boosted adoption.