Regulated OTC Desks Encouraging Crypto Adoption

In the Philippines, there is a focus on making cryptocurrency more accessible to the general public through over-the-counter (OTC) exchanges. These physical trading desks cater to individuals who are not as familiar with crypto trading. According to Jay Ricky Villarante, the CEO of Moneybees, an authorized virtual asset service provider, OTC platforms simplify the process of crypto trading, making it more accessible to everyone, including those who are less tech-savvy. Villarante also pointed out that Filipinos appreciate the value of face-to-face financial transactions, which is why in-person OTC trading appeals to them. Seeing real individuals facilitating their trades boosts their confidence.

OTC platforms provide a convenient way for individuals to convert between fiat currency and cryptocurrencies. Villarante believes that having a physical location for these platforms helps normalize cryptocurrencies and indirectly influences mainstream adoption. By being situated in malls, resorts, and casinos, these OTC hubs put cryptocurrencies in the eyes of the general public, contributing to their acceptance.

In the United Arab Emirates (UAE), OTC providers are focused on the potential long-term impact of OTC trading on the crypto ecosystem. Aminhossein Rad, the CEO of Dubai-based Crypto Desk, believes that the short-term impact of OTC desks is generally insignificant in influencing mainstream adoption. Rad explained that most of the daily trading volume globally is handled by international online exchanges like Binance, OKX, and ByBit. OTC exchanges, including crypto-fiat exchanges, are mainly used as bridges for users to enter and exit the crypto market, representing a smaller portion of the trading volume.

Rad believes that as OTC desks become more regulated, they will have a greater impact on the adoption of cryptocurrencies in the long run. He sees the potential of OTC trading exchanges, under Dubai’s leadership, in helping the UAE maintain its position as a global hub for Web3 technologies.

OTC exchanges in the Philippines aim to make crypto trading more accessible to the general public through physical trading desks and face-to-face transactions. This approach appeals to those who are less familiar with crypto trading and appreciate traditional financial transactions. These OTC platforms provide an easy way for individuals to convert between fiat and cryptocurrencies, while also normalizing cryptocurrencies in mainstream society. In the UAE, OTC providers focus on the potential long-term impact of OTC trading on mainstream adoption. While the short-term impact is relatively insignificant, regulated OTC desks can play a bigger role in promoting cryptocurrency adoption and maintaining the UAE’s global position in the Web3 space.