Coinbase Launches OTC Crypto Trading Desk; USDC Stablecoin "One of the Most Liquid" on the Market

Coinbase launches its over-the-counter trading desk for its institutional Prime customers today, with plans to integrate delayed settlement and Coinbase Custody.

Over-the-counter trading occurs directly between trading parties instead of over an exchange.

In an interview with Cheddar, Christine Sandler, head of sales at Coinbase, described the move as "Opportunistic," and a response to client demand.

Sandler mentions that Coinbase is launching the service to beat out competitors Poloniex and Gemini.

Poloniex acquired its OTC services in February, Circle Trade, in an acquisition, while the Winklevoss' launched Gemini OTC in April.

Unlike Coinbase's competitors, Coinbase will not only "Trade on a proprietary basis," but will also "Match client orders." This bodes well for users of the service, resulting in lower fees and lower settlement times.

According to Sandler, the service would allow trades to settle "Seamlessly and instantly" with funds available for "Immediate withdrawal," and with "No possibility of a failed trade," and "No need to chase down wires and blockchain transfers."

All Coinbase customers-and the cryptocurrency markets more broadly-could potentially benefit from lower volatility.

In another daring move, Coinbase also launched its own stable coin, USDC, competing with the likes of Tether, True USD, and USD Coin.

Regardless of market conditions, progress by Coinbase is helping make cryptocurrency available to everyone.