Trading stocks on exchanges and over-the-counter (OTC) markets differ in several ways. In exchange trading, buyers and sellers trade stocks on a centralized platform with standardized rules and regulations, providing transparency and liquidity. The prices of stocks are determined by the forces of supply and demand, and traders can buy or sell at any time during trading hours. OTC trading, on the other hand, involves the trading of stocks directly between parties without the involvement of a centralized exchange. Prices in the OTC market are typically negotiated between the buyer and the seller, making it less transparent and less liquid than exchange trading. Additionally, OTC stocks may be less regulated and more prone to price manipulation than exchange-traded stocks.

Stocks traded on major exchanges and those traded over-the-counter (OTC) differ in several important ways. Exchange-listed stocks are bought and sold on organised marketplaces such as the New York Stock Exchange or NASDAQ. These exchanges have strict listing requirements related to company size, financial reporting, and corporate governance. As a result, exchange-listed companies are generally more transparent and subject to greater regulatory oversight.

OTC stocks, on the other hand, are traded through a network of dealers rather than a centralised exchange. Companies in OTC markets often have fewer reporting requirements and may be smaller, newer, or financially distressed. OTC stocks typically have lower trading volume and liquidity, leading to wider bid-ask spreads and greater price volatility.

While exchange-listed stocks are generally considered safer and more transparent, OTC stocks may offer higher growth potential. However, they also carry increased risks, including limited information, lower liquidity, and a greater chance of price manipulation.