Trading volume on OTC platforms is several times higher than the volume on cryptocurrency exchanges. Large investors need high liquidity, something that crypto exchanges can not yet brag of.

TABB Group, an international research company, analized the daily volumes on over-the-counter (OTC) bitcoins trading platforms and concluded that they exceed $12 billion. Thus, the OTC platforms is two or three fold larger than the daily trading volume on cryptocurrency exchanges.

Although cryptocurrency exchanges like Coinbase, Binance, Huobi, OKEx and UPbit process deals with hundreds of millions of dollars every day, the liquidity on these platforms is not enough for bitcoin whales, rotating billions of dollars in cryptocurrency.

Originally bitcoin whales traded on the largest and most liquid bitcoin exchanges, and some still adhere to those platforms. But as the cryptocurrency market was growing, institutional-grade traders moved to over-the-counter sites to buy and sell bitcoins and other cryptocurrencies, because they remain anonymous and offer access to additional liquidity.

For many years the vast majority of bitcoin analysts predicted that billions of dollars will be traded daily on the over-the-counter market. That's why many cryptocurrency exchanges try to expand their businesses to the OTC market, opening such platforms in addition to already existing exchanges.