Cryptocurrencies Trading Shifts From US Exchanges, Prices Fall
It is being reported that some big cryptocurrency exchanges may be starting to regret snubbing the alternative small coins.
Bitcoin (BTC) is holding up better than smaller crypto coins in this year’s downtrend, but these tokens are boosting crypto exchange volume in a languishing market, according to a report by research firm Diar Ltd., using data by CoinApi out Tuesday.
“Traded volumes on Coinbase, Bitstamp and Kraken have seen steep declines,” the report said. “Meanwhile, token exchanges outside the US, that have lax regulator scrutiny, are now seeing an increase in traded volume,” the report said.
Exchanges based in the US have largely stuck with the Key coins like Bitcoin and Ether as regulators have said tokens sold in ICO’s (initial coin offerings) are likely to be considered securities, and so trading platforms offering them are subject to tighter regulations.
US-based Coinbase and Bitstamp offer 5 coins, while Kraken lists 24, compared with hundreds of trading pairs on the OKEx and Binance exchanges.
Coinbase is adding exposure to more digital assets with Decentralized Bulletin Board Paradex, which as of last week had 19 cryptocurrencies, according to Diar.
Notably, cryptocurrency trading will not be part of the features of Swiss stock exchange’s new digital asset platform. This decision is not due to the lack of capacity to implement such, but basically an issue of priority.
“The capability is there to do it, but to be honest it’s not a priority. There are plenty of exchanges currently providing bitcoin trading services”, said the head of securities and exchanges at the Swiss stock exchange owner SIX Group announced Tuesday
SIX 1st announced a proposed launch of its new crypto-initiative earlier this year.
In its announcement, the establishment claimed this initiative to be the 1st market infrastructure in the world to offer a fully integrated end to end trading, settlement and custody service for digital assets. However, SIX has expresses concern about the current reputation of Bitcoin, which is suggestive towards his establishment’s present stand.
“There were still “reputational” issues surrounding Bitcoin. There’s actually nothing Behind bitcoin other than a lot of hope and hype”, the SIX Group’s head declared.
Currently, Bitcoin is trading at 6,475.895, +80.8999, or +1.27%, as of 1:22a BST, the market is open.