OTC and Exchange traded

The forex market is based on the OTC trade. Here, OTC does not have the same way in the rules to trade of the stock exchange where all market investors should be centralized. OTC market has the particular practice and two parties are allowed to decide the various conditions by themselves like price, contract date and the settlement date. One of them has to quote the price with the bid rate and the offered rate, and another has to decide to buy or sell on the quotation if he needs.