Block Trade

A block trade defines a large order transaction that takes place outside the open market. While conducting block transactions, a blockhouse acts as the financial intermediary to assist the investors with risk management.

Block trades are often taken by large institutes and hedge funds for their enormous transactions. You can compare a block trade similar to over-the-counter trading (OTC Trading) due to their confidentiality.

At its core, block trading is similar to any other trading mechanism imposed on the Blockchain.