New Crypto Trading Desk for Hedge Funds
Etoro, which recently announced that it is expanding into the US with ten cryptocurrencies, is reportedly setting up an over-the-counter (OTC) trading desk in London for institutions wishing to trade on cryptocurrencies.
The move is explained as answering demands from hedge fund owners who expressed interest in experimenting with crypto trading.
“We are launching an OTC desk for institutions.
We’ve announced that we’re launching the exchange as well so, between the exchange and the OTC desk, we’re also starting to serve more potential institutions and financial institutions.”
The Growing Institutional OTC Crypto Market
Institutional OTC desks help big players whose massive transactions might move the markets if they were done in the open.
In the UK, Barclays was reported as supposedly considering launching a crypto trading desk back in April.
As Three Arrows Capital collapsed under market pressure, its much-lesser known trading desk TPS Capital remained active, sources say. But a complex ownership structure might frustrate creditors' efforts to collect.
The United States-based cryptocurrency exchange Bittrex has just launched an over-the-counter (OTC) trading desk which will see cryptocurrency traders deal directly, rather than through an exchange.
CoinSpeaker
U. S. Crypto Exchange Bittrex Rolls Out OTC Trading Desk Supporting Nearly 200 Cryptos
U. S. cryptocurrency exchange Bittrex has announced the launch of its over-the-counter trading desk that will facilitate trading between two parties.
Barclays (LSE: BARC) has reportedly scrapped its plan to launch a cryptocurrency trading desk. However, it remain unclear whether the U. K. banking giant is acting under pressure from regulators or for other reasons, such as insufficient demand for crypto-related services from hedge funds.
Barclays has reportedly appointed a team of three senior executives to look into the feasibility of setting up a crypto trading desk to function as part of its markets business. According to a report in the London Financial News on August 6, 2018, the bank wants to follow in the lead of other large institutional investors who have been convinced.
While the major banks are taking their time with offering OTC crypto trading, new entrants to the space are stepping up to fill the void. Social investing platform Etoro, which focuses mainly on retail traders, is now expanding into the institutional segment with a new cryptocurrency offering.
Global investment bank Goldman Sachs has brought back its bitcoin trading desk and will start handling bitcoin futures next week. The firm is also reportedly exploring the potential for a bitcoin exchange-traded fund (ETF) and plans to provide a crypto custody service.
Crypto exchange Coinspot has launched an over-the-counter trading desk in Australia and you’ll find more about the platform in this edition of The Daily. Elsewhere, computing power-sharing platform Bitdeer.
Investment firm Fidelity Investments, which serves over 27 million customers, announced on Monday its plans to open a cryptocurrency…
The post Fidelity Investments To Be First Wall Street Firm With A Crypto Trading Desk appeared first on Invest In Blockchain.
Wallet provider Blockchain. com has created an OTC trading desk as part of its efforts to cater to institutional investors. Also in The Daily this Sunday, Shapeshift launches the redesigned Coincap tracker, Kraken lists Cardano and Qtum, and Compound offers its users the option to short cryptocurrencies.
