South Korean Crypto Exchange Bithumb Launches OTC (Over The Counter) Trading Platform
South Korean Crypto Exchange Bithumb Launches OTC Platform
Bithumb, a prominent crypto exchange from South Korea, has decided to launch a new over the counter (OTC) desk which will be available for users globally. The announcement was made this Thursday, February 7, and the company has affirmed that Ortus, the new platform, will act as a block deal, matchmaking service and will cater specifically for institutional clients.
According to Rahul Khanna, the director of Bithumb, Ortus will operate in order to allow institutional investors to get more liquidity and competitive prices, as well as a good and stable service. Ortus will have offices in five countries: the United States, Hong Kong, Japan, Australia and Argentina.
The service will be completely compliant with the local rules of these five countries, so the clients will have to pass a very strict Know your Customer (KYC) and Anti Money Laundering (AML) procedures before they are able to use their accounts.
By using the services of the company, users will be able to get fully insured custody and to be able to transfer their funds from bank accounts. At the moment, however, the company has not yet affirmed which assets will be available for OTC trades.
OTC Desks Are On The Rise
It is certain that more and more crypto companies are decided to release OTC desks. Part of this is because they want to use the interest of institutional investors and get more money and part is because of the bear market, which made important for these companies to diversify their assets more.
For instance, Bittrex, an exchange based in the U. S., has recently launched an OTC desk that supported over 200 cryptos and Poloniex has also opened a similar service, but only for the big investors with a minimum order size of $250,000 USD. Coinbase has also surfed on this wave by opening an OTC service at Coinbase Prime, which is focused on institutions.