Buying Bitcoin remains a major struggle for consumers all over the world. Unlike what people may think, not everyone looks forward to register and exchange account, and verify their identity. Not because they have something to hide per se, but rather due to the fact this process can take several days. It is apparent there is a huge need for over-the-counter purchasing options.
OTC Markets Can Really Thrive in Europe
Consumers who want quick and convenient access to Bitcoin will not use and exchange platform unless they have to. Rather than using Bitcoin exchanges, they prefer to stick to OTC markets. Not only can these platforms provide sufficient liquidity, but newcomers will receive their Bitcoins a lot faster compared to using and exchange.
This is also part of the reason why platforms such as LocalBitcoins are very popular in Europe since it makes the whole process a lot smoother for all parties involved. Unfortunately, LocalBitcoins can not necessarily provide the required liquidity to accommodate large trades. Investors who want to invest a few hundred thousand Euro into Bitcoin will have issues doing so.
One could argue anyone looking to buy a six-figure sum worth of Bitcoin must have something to hide if they are not looking to use exchanges. That is certainly a possibility, but there is also the counterargument of how investors want to purchase cryptocurrency for legitimate reasons. Diversifying one’s trading portfolio is always a smart move. Going through the verification process as a large-scale trader is rather complicated, and not fun for any party involved.
Unfortunately, Europe lacks OTC trading platforms for large-volume Bitcoin transactions.If such companies were to come to fruition, it is not unlikely Bitcoin adoption would thrive in the region.Then again, setting up and OTC Bitcoin platform is subject to severe regulation in Europe, and these ventures will not be created overnight by any means.
It will take a lot of effort to boost Bitcoin adoption in Europe. Trading volumes have been low ever since the inception of cryptocurrency, simply because there is an abundance of payment methods. For most people, Bitcoin does not make sense as a payment method and is too risky to invest in. OTC platforms will not change that overnight, but they might make it more appealing for people to give cryptocurrency a chance.
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