Bithumb, a south Korean cryptocurrency exchange recently launched global over the counter (OTC) trading desk for digital assets.
The firm announced the news on Thursday. Further, it announced that Ortus, is a “block deal, matchmaking service” for institutional clients. Two parties trade directly with each other in an OTC without the involvement of an exchange. Whereas in exchange orders are first matched between buyers and sellers.
The onboarding process
All clients will undergo a strict and vigorous onboarding process. This process will include KYC and AML documentation. Ortus offers features such as insured custody and transfers from a U.S.-based bank account. The firm did not set out which digital assets it will offer for OTC trades.
Further, several crypto exchanges have launched OTC trading desks in recent months to capitalize on growing interest from institutions. Also, just last month, U.S.-based Bittrex launched an OTC desk supporting nearly 200 cryptocurrencies.
Moreover, in December 2018, Poloniex opened OTC trading service for institutional clients with a minimum order size of $250,000.
More on Bithumb
Bithumb is based in Seoul, South Korea. Founded in 2013, it is owned and operated by a company called BTC Korea.Com Co. Ltd. The Bloomberg profile for the company mentions no executives, board members, or other data about the company. This exchange allows its users to buy, sell and store Bitcoin as well as a range of other cryptocurrencies.
It has recently been fighting a war with Upbit for the title of Korea’s number one cryptocurrency exchange. Its daily trade volumes almost regularly go over a billion dollars in value, placing this exchange among the top 10 worlds exchanges volume-wise. Recently a report came out suggesting that the amount of 24-hour transactions on Bithumb stood at 3.48 trillion won (US$3.27 billion) and the figure reached 8.4 trillion won (US$7.89 billion) when combined with Upbit.
It is far more than any other country considering the fact that daily transactions in Hong Kong (which has two exchanges on the top 10 list in the world) amounted to 6.3 trillion won (US$5.92 billion) while in China they added up to 3.7 trillion won (US$3.47 billion).Back in 2017 the Korea Herald reported that Bithumb accounted for about 10% of the global Bitcoin trade. This percentage has gone down now with other currencies taking over their share of trade volume. Still, Bithumb remains a significant player in the Bitcoin market, with daily Bitcoin trade volumes reaching hundreds of millions of dollars. The exchange is regularly cited as responsible for about half of South Korea’s Ethereum trading.