Leading U.S.-based cryptocurrency exchange Coinbase has partnered with Caspian, an institutional grade crypto trading platform. The collaboration will allow institutions, professional traders, and existing customers of Coinbase Prime to leverage Caspian’s trading tools and single sign-on access to the exchange platform.
A Win-Win Deal
Coinbase, the U.S.-based cryptocurrency exchange which is one of the largest in the world, announced earlier this week through its official blog the new collaboration with Caspian. Caspian is an institutional grade, full-stack crypto trading and risk management platform. Caspian provides a complete suite of sophisticated trading algorithms and tools for professional traders and institutional investors.
Coinbase Prime is the institutional brokerage and trading platform offering from the exchange. This mutually beneficial partnership will allow Coinbase Prime’s customers and other institutional investors to use Caspian’s trading tools and will also enable seamless access to Coinbase through the same interface (users will not need to log in separately into two interfaces).
Coinbase’s Institutional Growth Strategy
Earlier this year, Coinbase ventured into new business lines to cater to institutional investors amidst growing interest for cryptocurrencies amongst them. The new services include Coinbase Prime; Coinbase Custody, a safe and regulated cold storage solution; and Coinbase Institutional coverage group, a sales, support, and training resource for institutional investors.
Kayvon Pirestani, Director of Institutional Sales at Coinbase, says:
By working together, Coinbase and Caspian will deliver institutional-grade order and risk management tools to the growing number of professional crypto trading firms around the world. Customers will be able to take advantage of the best elements of both platforms — accessing Coinbase’s extensive historical market data and deep pool of liquidity and combined with Caspian’s suite of seamless trading tools. We see this partnership as not only a tremendous commercial opportunity but as a chance to truly move forward the institutional adoption of crypto as a mature, tradable asset class.
A Strong Partner
Caspian is a collaborative effort between Tora, a cloud-based technology company, and Kenetic, a blockchain investment firm. Caspian provides a complete asset management solution including OEMS (order execution management system), PMS (portfolio management system), compliance, risk, and reporting. The platform provides advanced trading tools and algorithms for professional traders and institutions, along with a single interface into all significant crypto exchanges, including the new addition, Coinbase. Caspian has forged ties with many leading crypto exchanges across the globe.
Robert Dykes, CEO of Caspian, said:
We’re delighted to cement this important partnership with Coinbase, which will see one of the world’s leading digital currency trading venues join forces with one of the most exciting emerging crypto platforms. Our goal at Caspian has always been to make it is as frictionless as possible for professional traders and investors to trade and manage portfolios of cryptocurrencies in order to drive exponential growth in this market, and we’re delighted that Coinbase shares this vision.
The collaboration between the two companies is a good development towards attracting institutional investors who have so far shied away from the cryptocurrency markets due to security concerns. Solutions like Coinbase Custody and professional grade tools from Caspian will instill confidence in institutions to leverage cryptocurrency trading for high returns.
Do you think this partnership will encourage institutional investors to invest in cryptocurrencies soon? Let us know in the comments below.
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