An intermediary is often referred to as a person or entity that acts as a third party to carry out agreements or directives. Intermediaries are often present among financial institutions in the form of crypto exchanges, financial advisors, investment banks, mutual funds, and more.

Financial intermediaries also bring forth advantages to the end consumers. They increase the overall liquidity while enhancing security. Intermediary also helps in bringing down the cost of acquisition. Although you still need to pay a margin on the order that makes a profit.