What is an OTC cryptocurrency Exchange script?
An Over the Counter (OTC) cryptocurrency exchange script is a centralized exchange, where the user can only trade with the administrator of the exchange and will have to pay the price that the exchange’s administrator determines. The OTC exchange completely works in contrast to how a Peer to Peer (P2P) exchange operates, where the users determine the price of the cryptocurrencies they want to buy or sell and the order is matched with compatible requests.
How does the OTC Exchange script work?
A user would sign up for an account on the OTC exchange, To begin the trade they would have to deposit fiat currency into the administrator’s account. This process is manual and offline, Once the account is verified and approved, they can start deposit the money to the bank account mentioned on the deposit page, the user would then have to submit their proof of transaction with the transaction ID, so the administrator can track and validate the transaction. Only then the user can start trading with the amount available in their wallet.
As an administrator, you can set the price for cryptocurrencies in the admin panel for both buying and selling. The user would buy or sell at the rates set buy you. The balance is deducted or increases respectively after a successful transaction. There are different cryptocurrency pairs that are available for trade. The administrator has the option to set all these conveniently in the admin panel.
What is the importance of having an Over the Counter exchange using this OTC exchange Script?
Over the counter exchange gives more control over High volume trade, as an owner of the platform, you can choose to allow only High volume traders on your platform or make it available to anyone who wants to trade from one trusted source. Also, by starting an OTC exchange, you can provide customers with reduced transaction cost based on Volume and since the cryptocurrencies are sold or bought by one entity( the administrator), the trading happens quicker and securely.
What are some of the upcoming features of the OTC exchange script?
We’re constantly adding new features and improving the user experience on the OTC exchange script. We’re working on asset token trading and a couple of other features and enhancements on the OTC exchange script.
How to Buy and Sell on the Over the Counter (OTC) exchange?
Before you purchase a Cryptocurrency on the Over the Counter (OTC) exchange, you would need to deposit fiat currency in the Fiat currency Wallet. Whenever an amount is deposited, it would be sent to the site’s admin wallet and the amount will reflect in the user account’s fiat wallet.
Buying ON the OTC exchange
As a user logins to their account, and navigates to their fiat wallet they will find the option to deposit the fiat amount.
STEP 2: Now they can enter the amount to deposit, choose to add a Card from which the amount will be topped up to their account’s fiat wallet.
STEP 3: Once they have entered a Valid Credit Card with sufficient funds, the amount would be deposited from their bank to the exchange admin’s master wallet and the deposited amount will reflect in the user’s fiat wallet.
STEP 4 : Now the deposited fund is available to purchase cryptocurrencies. They will have to enter the number of Cryptocurrencies that they want to purchase and the price is displayed for it.
STEP 5 : The user can choose to purchase the cryptocurrencies with either the available balance or use a credit card again to purchase. Once you have purchased, it will be available in the user’s respective cryptocurrency wallet.
Selling on the OTC Exchange
When a user sells their cryptocurrency, they would get fiat currency for it in the OTC exchange. The price of it is determined through the Cryptocompare’s API and as the admin, you have the option to add a percentage above it individually for Buying and Selling of these cryptocurrencies.
STEP 1: The user’s Cryptocurrencies are available under their respective cryptocurrency wallet. They will have to navigate to the cryptocurrency wallet and there the Option to sell would be available.
STEP 2: Once they have opted to sell, they can now enter how many units of cryptocurrencies they would like to sell and hit the “Sell” button. They would receive the fiat amount for it, which in turn would be sent to their bank account of the user’s choice (Shown while they are selling the cryptocurrency)
STEP 3 : In the backend, as soon as a user sells, the amount that has to be sent to the user for selling transaction, is displayed on the Payment processor’s dashboard (STRIPE), after verifying the details and with sufficient balance, the administrator can deposit the amount to their account right from Stripe’s dashboard seamlessly.