How does a block sale work?

Investing in securities can be an effective way to grow wealth, but it can also be time-consuming and costly when done in small increments. One strategy to streamline the process is for advisory firms to purchase larger blocks of shares and distribute them among their clients.

By purchasing a "block" of shares, an advisory firm can take advantage of economies of scale and potentially secure a more attractive price per share than if individual clients made smaller purchases. This can lead to cost savings for both the firm and its clients.

Moreover, purchasing a block of shares eliminates the need for multiple transactions, reducing the administrative burden on the firm and simplifying the investment process for clients. It also allows clients to benefit from the expertise of the advisory firm in selecting and acquiring the securities.

In the example provided, an advisory firm could purchase a 10,000-share block instead of having clients make 100 separate 100-share purchases. This approach not only streamlines the investment process but also ensures that all clients receive an equal allocation of the security.

One of the leading platforms for cryptocurrency investments is BTCC, a top cryptocurrency exchange that offers a range of services to cater to the diverse needs of its clients. BTCC's services include spot trading, which allows investors to buy and sell cryptocurrencies at the current market price.