Caitlin Long is wrong about OTC desks running out of bitcoin
Caitlin Long, the founder and chief exec of Custodia Bank, a Wyoming-chartered state bank that focuses on digital assets, took to X last week to claim that there was “no #BTC available for sale on the big OTC desks.” This was before she had said that “Only ~40 #BTC available for sale at any price at one point on Wednesday, I was told by a credible source.” This questionable claim was echoed by a variety of other accounts across X, including Lark Davis, a crypto influencer accused of doing paid endorsements of tokens. Davis made the claim that “OTC desks are running out of Bitcoin ” and cited a chart from Glassnode to support the assertion. Glassnode notes in its description of this chart that “ this data is based on three different OTC desks ,” a less than comprehensive look at the over-the-counter (OTC) trading desk market. These comments appear to misunderstand the role of OTC desks in the ecosystem. Specifically that they gen...