"There is clear demand from institutional clients and financial services professionals for more specific solutions with regard to cryptocurrencies that address their sophisticated needs", said Adam White, Vice President and General Manager of Coinbase Institutional. Coinbase Markets will be providing users with new features which will pave the path for a more price efficient process, increase the certainty of execution and building better markets.
This is a brand new online interface to Coinbase's trading platform.
Coinbase's new partner, Electronic Transaction Clearing, settled with the SEC in March over an alleged violation of customer-protection requirements and was fined $80,000. "This movement requires institutional grade products and services, something Coinbase has been developing with leading institutions and which we are proud to formally launch today". This office will serve as the home for the Coinbase Markets team and enable Coinbase to continue offering the most performant and reliable cryptocurrency exchange.
As new hedge funds form to invest in cryptocurrency and large financial institutions jump into the fray, Coinbase (COINB) is introducing a suite of services targeting institutional investors, the company announced on its blog.
"Coinbase Prime will fill a missing piece of critical infrastructure needed for institutions", the exchange said.
Coinbase now has more than $200 million in funding from backers such as Andreessen Horowitz and the New York Stock Exchange. Paul Bauerschmidt, Product Lead, Coinbase Markets, noted: "As leaders in innovation and technology, Chicago and Coinbase are perfectly suited in working together to help shape the present and future of digital currency". "We look forward to adding talented engineers who are motivated by our mission to create an open financial system for the world", said he.
Lastly, the launch of the new Coinbase Institutional Coverage Group will see the platform launch a new service that will deliver sales trading, research, market operations, and client services support to institutional clients. Coinbase Prime will promote implementation of cryptocurrency worldwide via giving institutions an opportunity to get closer to this asset class. It will provide a variety of tools and services created to meet the trading needs of the institutional investor. And especially getting as numerous key staff as we need.
This is a new group, based in Coinbase's New York City office, that will be focused on providing a personalized "white glove" service to institutional investors.
As institutional capital begins to enter the blockchain ecosystem at high speed, Coinbase is positioned to function as a driving force behind adoption and the inevitable maturation of the crypto market.