One of the biggest questions in cryptocurrency asks “how do we reach the ordinary user?” Buying, selling, storing, and essentially using cryptocurrencies may seem like second nature to most enthusiasts, but newcomers constantly get stuck figuring out how the process works. Using these coins and tokens may not be hard for somebody who is generally tech-savvy, but if the industry is to thrive, then it needs to appeal to those who struggle with using computers. Arguably, navigating the world of cryptocurrency has gotten easier over the years, with many newer crypto-wallets trying to streamline the process, but for some it still causes headaches.
Attracting the average trader
As cryptocurrency is primarily still in its infancy, one of the most important things it still needs for its survival is to bring in new traders. It is fair to say that during the early days of cryptocurrency, new traders mainly took the form of programmers, developers, and other people who knew something about computer science. These people helped the industry grow financially, but nowadays it needs a wider audience who are less computer literate. To do this, it needs more services which streamline the process of trading, making it understandable to the many.
One way to do this is through OTC (over-the-counter) trading. This is where users buy and sell cryptocurrencies outside of exchanges, working with some form of broker. The process is often less complex for newcomers because it allows them to avoid the intricate and daunting trading dashboards that most services use. There are several companies who offer OTC crypto trading nowadays, such as Atronocom (which lets users OTC trade with their phones) and Kraken.
Investing large quantities
OTC trading has become the norm for investors who buy and sell large quantities of cryptocurrency because of the increased liquidity offered. However, make no mistake; just because people are willing to invest heavily into cryptocurrency does not mean they are knowledgeable enough to navigate all the intricacies of the industry. In many cases, large scale investors happen to know little about the world of crypto beyond understanding its potential for future growth. These are the types of casual investors which the industry needs to amass more of. Another positive aspect of OTC trading is that it is an already well-known and understood protocol used to trade other asset classes (such as stocks and foreign exchange). This is important as it makes crypto trading more welcoming to people who usually invest in other things.
Of course, OTC trading is just one method of making crypto more friendly to a wider audience, but it is one which should be embraced now more than ever as the industry needs to attract more users and more finances if it wants to sustain its success and continue reaching all-time-highs.