Coinbase has debuted OTC trading for its Prime customers.
Opposed to trading through a crypto exchange itself, over-the-counter crypto trading will allow institutional investors to conduct direct trades between each other.
Christine Sandler, head of sales at Coinbase, commented “We launched our OTC business as a complement to our exchange business because we found a lot of institutions were using OTC as an on-ramp for crypto trading.”
She went on to say, “We felt this was a huge benefit to our clients to actually leverage both our exchange and our OTC business.”
The launch is in reaction to client demand, according to Sandler. Earlier this year, Cameron and Tyler Winklevoss’ Gemini launched OTC trading. Whilst other exchanges also offer OTC trading desks including Bitfinex and Kraken.
Circle also has a similar product, Circle Trade, through its February acquisition of Poloniex.