Fireblocks Partners with Coinbase to Expand Derivatives and Trading Services Globally
Summary:
Fireblocks, an infrastructure provider, expands its services portfolio by partnering with Coinbase to offer derivatives and trading products to institutional and retail investors. The platform now supports perpetual futures and spot contracts via Coinbase International Exchange, primarily aimed at institutional investors to reduce security risks and unauthorized transactions. However, these services are only available to users outside the U.S in "eligible jurisdictions". Taking the advantage of the crypto bull market, Fireblocks recently launched a custody branch in the U.S to meet institutional demand for digital assets. The digital asset market is projected for further growth as traditional investors enter. The Fireblocks platform has allegedly handled transactions worth over $6 trillion.
Fireblocks, a company known for providing infrastructure services, has broadened its offer range through a collaboration with Coinbase. This partnership allows the company to put forward derivatives and trading goods to both individual and professional investors. A statement made on June 10 revealed that Fireblocks' platform now promotes the trade of perpetual futures and spot contracts via Coinbase International Exchange. This move is primarily aimed at institutional investors such as hedge funds, trading companies and family offices. The firm outlines some of the potential advantages for consumers, such as pre-established governance procedures and workflows aimed at lessening security threats and unauthorized transactions involved with perpetual and spot trading. In contrast to spot trading, which involves immediate buying or selling, perpetual trading enables speculation on future price shifts indefinitely, without any need to own an asset. However, these new features are only open to users in "eligible jurisdictions" outside the United States. There has been no clarification from Coinbase International, a Bermuda-based company, regarding the specific countries it serves, either on its website or TOS. Taking advantage of the ongoing surge in the cryptocurrency market, Fireblocks is seizing the opportunity to grow its enterprise. The company recently unveiled a custodial branch in the United States, which is aimed at meeting the demand for digital assets by institutional investors. Initially, the newly formed entity will provide custody for Bitcoin (BTC), Ether (ETH), and three stablecoins, extending to additional assets as per the stipulations of the New York Department of Financial Services (NYDFS). As traditional investors and financial entities explore the digital assets' market, it is expected to experience further growth. This extension includes asset tokenization, perceived as a key element for boosting liquidity in the markets. Institutional interest in diversified crypto asset portfolios indicates a powerful and expanding interest in the cryptocurrency industry. It has been estimated that the Fireblocks platform has processed transactions valued more than $6 trillion for over 200 million wallets globally. As per the company, it serves over 30 exchanges and 55 banks in the field of digital assets.
Published At
6/10/2024 7:45:27 PM
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