Over-the-counter (OTC) stocks are securities that are traded directly between two parties, without the use of a stock exchange. This means that OTC stocks are not subject to the same regulations as exchange-traded stocks, and they can be more difficult to buy and sell.
However, OTC stocks can also offer some advantages over exchange-traded stocks. For example, OTC stocks are often more affordable, and they can be more easily traded in small quantities. Additionally, OTC stocks can provide investors with access to companies that are not listed on a stock exchange.