Coinbase, a leader in the cryptocurrency exchange market, has recently announced some new products that will suit institutions, which have become more interested in the crypto market recently.
During the last few months, more than 100 hedge funds have announced their intentions of investing in cryptocurrencies, something unseen in the market until recently. Because of this new demand, the cryptocurrency exchanges of the world are competing for this new market.
The company will launch soon a new platform called Coinbase Custody. This platform will work with SEC-regulated brokers and are an initiative to make the crypto and traditional finance markets closer to each other.
The Coinbase Custody will be a secure option for crypto storage that will be completely compliant with the US legislation. It will have security and third party auditing and financial reporting validation at the standards of the American SEC.
The launch partners of this new platform will be 1confirmation, Autonomous Partners, Boost VC, MetaStable, Multicoin Capital, Polychain Capital, Scalar Capital and Walden Bridge Capital. Members from the companies state that they are excited with the partnership and the possibility or regulating their crypto assets better.
Another new product will be Coinbase Prime, which was designed to offer the tools that the institutional investors need the most when trading and fill the gap that sometimes prevents these institutions from investing in crypto.
The company states that, in the near future, it intends to offer other services like lending and margin financing on the platform and even services like OTC trading and algorithmic orders.
The New Coinbase Chicago Office
Coinbase is also making a huge investment in Chicago for the creation of a new engineering office there. This office will focus on the development of Coinbase Markets, another product which will be a “premier electronic marketplace for cryptocurrencies” according to the company.
This will ensure that the company will continue to have a high liquidity of crypto assets and a centralized pool of liquidity that can be shared by all the Coinbase products. Other features of Coinbase Markets include low latency performance, on-premise data center colocation services and connectivity services.
The new office will be strategic for the company, as it will be the home of many specialized engineers that will help the company to maintain its infrastructure and create even better products to offer on its platforms.
The Coinbase Institutional Coverage Group
The final product that was launched by Coinbase is the Coinbase Institutional Coverage Group, which will focus on serving specific needs of institutions like providing them with client support, market research, sales trading, market operations and more. This group will be based in New York City and will have professionals from the New York Stock Exchange, the SEC and Morgan Stanley.