Crypto trading is constantly evolving with the many developments coming up. Investors, traders, institutions, and crypto exchanges strive relentlessly to keep up with the changing technologies. In that connection, Coinbase, a leading US exchange said in its blog post that it merged Coinbase Custody Trust with the company OTC desk services. The merger will introduce instantaneous liquidity on offline crypto funds.
Through the merger, the Exchange conducted its first OTC trade straight from ‘cold’ storage. Coinbase believes that the integration offers a “major unlock” for its users as it marked the accessibility of “immediate” liquidity. Traders needed to withdraw assets from cold storage in the past before transferring them to online wallets.
Traders could then execute their trades from these online wallets supported by the trading platforms. Coinbase has always worked to enhance the experiences and services for all their users. They keep adding new features that let customers send tokens from their accounts and directly to the available wallet app.
Institutional Investors
Reports reveal that institutional cryptocurrency trading on traditional exchanges have reduced considerably in volume as Bitcoin joins many major portfolios. It is evident that crypto exchanges have an upper hand compared to traditional markets since they have no closing times.
Without any closing hours in the digital currency markets, institutional investors would need 24/7 access to evade unexpected incidents in the highly volatile market. Since these investors prefer OTC trading, the merger may entice them to leverage the OTC desk without moving any tokens from cold storage. The Coinbase integration came due to client demand allowing customers to buy over-the-counter and settle assets directly into Custody.
Benefits
Coinbase made the process simple and the instantaneous liquidity on offline crypto funds may place them at par or ahead of their competitors. They work tirelessly to offer the best prices in the market. Morever, standing in between the trades preserves anonymity for both counter-parties and guarantees settlement.
The clients spoke, Coinbase listened and responded. The merger offers instant and anonymous liquidity. Thus, the exchange took a huge step towards a more vertically-integrated custody service. These developments will aim at making the crypto trading experience as seamless as possible for the clients. The exchange has also maintained a growth momentum that lets it compete with other large crypto exchanges worldwide.
