Where to Exchange Large Quantities of Bitcoin

There are many good exchanges with strong liquidity. Below there’s a list of trading platforms that could help you buy or sell a high amount of Bitcoin. Here’s what I found after some research:

  • BitStamp
  • Poloniex
  • Coinbase
  • GDAX

These exchanges have daily volume which exceeds thousands of Bitcoins and their fees are relatively low. But depending on what you consider a large quantity of money maybe a better choice would be so-called OTC exchanges (OTC = over the counter). OTC exchanges refer to companies or individual wiling to sell you Bitcoins directly and not through a regulated and automated trading platform.

OTC exchanges benefits

  • High liquidity – OTC companies specialize in supplying high volumes of Bitcoin for large buyers such as institutional investors. This means you will be able to get your order fulfilled in full faster than on a traditional exchange most of the time.
  • Fixed price – When you buy large amounts of Bitcoin on a public automated exchange you will probably see the price rise as your order is being executed. This is due to the fact that once you finish buying from the “cheap” sellers, you gradually move to the “expensive” sellers. This means you don’t have a fixed price for your purchase. When you use an OTC exchange you can negotiate a fixed price (e.g. “Bitstamp rate + 1%).

A few OTC exchanges:

  • Genesis
  • ItBit (for companies)
  • Richfund

You can also try buying smaller amounts (up to 50BTC) on multiple regular exchanges in order not to disturb the market. Buying or selling a lot of Bitcoins can have an impact on the market and drive the price up or down, depending on your transaction. So be careful when doing so.

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