The Vibe: Buying or selling crypto directly between two people, off the public exchanges.
The Details: OTC trading is when big buyers/sellers (whales, institutions, or anyone wanting privacy) make large trades privately through a broker or desk instead of on a normal exchange order book. No public slippage or price impact— the broker finds a counterparty and agrees on a fixed price. It’s common for huge amounts (millions or billions) where putting it on a CEX or DEX would move the market badly. OTC desks (like those at Coinbase, Kraken, or Circle) handle the deal, often with escrow, and give better prices than public markets for volume.
Pro Tip: Small retail traders rarely need OTC, but if you’re moving serious money, it’s safer and cheaper than splitting orders on exchanges. Always use reputable desks and verify escrow/multi-sig for safety—scam OTC deals exist.