Trading Technologies-Coinbase overeenkomst to bridge bitcoin and futures, Reuters
Fresh YORK (Reuters) – Trading software provider Trading Technologies International Inc said on Thursday it has teamed up with crypto-currency exchange technicus Coinbase to give institutional traders onmiddellijk market access to both bitcoin and bitcoin futures beginning te March.
The partnership means that large trading firms will have both bitcoin spot prices and bitcoin futures on the same screen, positioning them to potentially reap more profits trading the spread inbetween the two financial products.
The firms withheld the financial terms of the overeenkomst.
Much of the rente ter trading bitcoin has come from retail traders, but institutional participation has bot picking up steam, especially overheen the past year, Adam White, normal manager of Coinbase&rsquo,s Entero Digital Asset Exchange (GDAX), one of the largest cryptocurrency exchanges, said ter an vraaggesprek.
&ldquo,This is the very first time hundreds, if not thousands of institutional clients will have the capability to trade the crypto spot market side by side with 45 other markets,&rdquo, he said.
Trading Technologies, known spil TT, is connected to 45 markets worldwide, including CME Group ( CME.O ) and Cboe Total Markets Inc ( CBOE.O ), which both introduced bitcoin futures trading te December.
The cash-settled futures give speculators a chance to brief bitcoin, meaning they are betting the price of the underlying security will fall. One bitcoin wasgoed worth around $11,150 on Thursday morning, down from a high of around $Nineteen,000 last month.
TT also counts Goldman Sachs Group Inc ( GS.N ) , JPMorgan Pursue and Co ( JPM.N ), and most other Wall Street banks spil clients, spil well spil many Chicago- and London-based proprietary trading firms.
&ldquo,Wij&rsquo,ve had a lotsbestemming of request from the institutional trading community, everything from the traditional buy-side, hedge funds, managed accounts, the prop community, that I think have bot looking for a bridge like this spil a way to trade the crypto markets against the contant markets,&rdquo, Rick Lane, TT&rsquo,s chief executive officer, said te an vraaggesprek.
The Chicago-based rock-hard will also be rolling out enhanced surveillance contraptions to help police crypto-trading te the coming months, Lane said.
Coinbase, which is regulated under the Fresh York Department of Financial Services BitLicense, also said it would soon introduce a fresh custodian suggesting with stringent financial controls and secure storage for institutional traders wanting to trade digital currencies like bitcoin.
Reporting by John McCrank, Editing by Andrea Ricci