Post by GOAT FINANCE

Principal vs. agency. Two words that change everything about your trade. Agency model: the broker matches you with another party, or routes your order elsewhere. You don't always know who's on the other side, where the fill comes from, or what the full cost chain looks like. Your order can be split, delayed, or partially filled. Principal model: the desk takes the other side of your trade directly. They commit to a price for your full size. One counterparty. One settlement. All-in pricing you can verify. For trades below a few hundred thousand, the difference is small. At $5M, $20M, $50M — it compounds fast: slippage, timing risk, settlement complexity. The question isn't just 'what's your spread?' It's: 'are you actually on the other side of this trade?' If the answer is ambiguous, that's your answer. For information only. Not financial advice. #InstitutionalCrypto #OTC #DigitalAssets #Treasury #Fintech