With the start of 2017, a lot of investors appear to be keen on buying large amounts of Bitcoin. The traditional Bitcoin buying methods are not always suitable due to the limited supply of cryptocurrency and high transaction/deposit fees at most exchanges.
In this guide, we will explain how to buy Bitcoin in larger quantities (in excess of $100K).
How To Buy Bitcoin in Larger Quantities?
Wondering how to buy Bitcoin in bulk? You can buy it either through OTC exchanges or and traditional Bitcoin exchanges. OTC stands for “over the counter” and refer to individuals/companies that are willing to sell you Bitcoin without going through an automated or regulated trading platform.
What Are the Benefits of OTC Exchanges?
OTC exchanges have two major benefits over their traditional counterparts.
- OTC exchanges own higher volumes of Bitcoin and fulfill your order faster as compared to traditional exchanges.
- The exchange prices are negotiable.
Are There Any Disadvantages of OTC Exchanges?
Just like advantages, there are two major disadvantages associated with OTC exchanges.
- OTC exchanges are less transparent. The buyers do not know exactly who they are dealing with or the volume they are supposed to trade. Their information is solely based on what they get from the seller.
- The amount of risk involved in OTC transactions is pretty high as there are no regulations and the OTC sellers aren’t listed as money transmitters.
What Are Some Top OTC Exchanges?
There are several OTC exchanges around the globe. Some of the best exchanges to buy bitcoins are:
ItBit was founded in 2013 and is one of the most renowned OTC exchanges in the US. It provides Bitcoin for both small and large institutional investors.
Another leading OTC exchange. Over the last three years, the company has traded over 1.5 million BTC with the worth over $600 million USD.
Richfund is the largest Bitcoin hedge fund in the world. The company deals with market making, OTC trading, and mining operations. Richfund provides between 1000-5000 BTC and operates in Hong Kong, Korea, China, Cambodia, and Taiwan.
Something About Traditional Bitcoin Exchanges:
If you prefer traditional exchanges over OTCs to buy Bitcoin, you should consider going to the exchanges discussed below.
The largest Bitcoin company. Coinbase operates both in Europe and the US and offers its users the opportunity to buy $10,000 to $100,000 USD worth of coins every day.
want to find out more about Coinbase? Read our guide on how to buy Bitcoin via Coinbase.
Bitstamp is the oldest traditional exchange around. Currently, the company sells 5,000 on average per day with the deposit fees as low as 0.05%. The fees may also go up somewhere between 0.25-0.1%, based on your trading volume.
Kraken is one of the very few companies that deal in Euro, British pounds, USD, Japanese yen and Canadian dollar. Similar to Bitstamp, Kraken also sells 5,000 BTC on average per day.
Regardless of all the hype, Bitcoin is still in its earliest stages and the options to bulks of it are restricted. Nonetheless, the choices listed above should be more than enough to take care of this issue for you.