The main US digital asset platform, Coinbase, has launched an over-the-counter (OTC) trading desk dedicated to institutional investors, Cheddar's reports on the live streaming site.
From Coinbase Prime to its Custodian service, the exchange laid the foundations for institutional investors for a while. At the start of this year, Coinbase announced that it was on track to be a broker-dealer regulated by the US Securities and Exchange Commission. The exchange also acquired the securities dealer Keystone Capital and others, in an effort to expand its bids to include encryption, margin trading and OTC trading.
Christine Sandler, head of sales at Coinbase, said the growing demand for OTC encryption business made the move a must for the exchange.
"We launched our OTC business as a complement to our trading business because we found that many institutions used OTC as a ramp for cryptographic trading."
According to Sandler, the launch will enable customers to leverage Coinbase's cryptographic exchange and OTC service. There is also the possibility that the cryptographic platform combines its OTC service with its own custody business.
Coinbase is part of a list of companies that currently offer OTC trading services, such as Circle, Genesis Trading, itBit, Kenetic Capital and others. When asked what makes Coinbase's OTC trading desk unique, Sandler said:
"Circle and many others have complementary products, but they also trade on a proprietary basis, so they are the counterpart of every transaction, while we, in fact, correspond to customer orders."
The OTC trading desk has been added to the basket of services offered by the US-based cryptographic exchange at a time when digital asset prices are declining their market values.
"From our cryptic first customers, we're hearing that nothing has changed compared to technology, and I'm still absolutely committed to encrypt … to technology … I think there's a small positive side to this volatility … [it’s] that crypto has been the front and the center of the main financial media in the last weeks. I think he led … forced many institutions to think, in reality, that this is an opportunistic investment point to encrypt at this point ".