Binance Crypto Exchange has plans to add over-the-counter (OTC) trading to its platform to retain competition in the Chinese market and is all set to deploy more time and resources to the project.
The biggest cryptocurrency exchange in the market by ‘adjusted trading volume’ will accommodate fiat currency gateways from the coming month. It will commence service by backing fiat ‘on-ramp’ via over-the-counter trading for Chinese renminbi (RMB).
On Tuesday, at a media conference, during the Shanghai Blockchain Week, Binance’s co-founder and chief marketing officer, He Yi, stated that they are also working on a new payment service which would be launched to enable users from 170 different countries to acquire crypto assets utilizing fiat currencies at Binance.com.
Over-the-Counter trading of Fiat-to-Crypto has always been a crucial element in terms of fiat on-ramp for the crypto traders in the Chinese market. Since the ban of initial coin offerings in September 2017, local jurisdictions disallow any association of crypto exchanges to banks and fiat securities.
Following the ban on September, several long-running Chinese exchanges like OKCoin and Huobi shifted their operations overseas to continue crypto-to-crypto trading by employing OTC liquidity provider on their platforms to promote crypto trading using Chinese yuan.
The announcement of Binance’s OTC plans came soon after the exchange stocked up deals that can increase their connections with the goods and services economy (real economy), and could enhance their connections with conventional finance.
This month, Binance offered two sandboxes for testing their crypto-futures trading platforms, Futures A and Futures B. And the sandboxed are open to users’ votes.
Binance Crypto Exchange also announced the procurement of a crypto derivatives exchange, dubbed JEX. It is Seychelles-registered.
Last week, they also introduced a dollar-based stablecoin, dubbed Binance USD, as a contender for Facebook’s proposed cryptocurrency, Libra. Reportedly, the stablecoin has also been approved by the York Department of Financial Services (NYDFS).
Further, they declared the withdrawal of the ban they had implemented, on accepting U.S. customers. Binance would be accepting U.S. customers from September 18, via its not-so-known trading partner, BAM Trading Services.
Yesterday, the exchange invested an undisclosed amount in Mars Finance, which is a Chinese crypto data and media company. They have been very active this month and would be more, with its latest Fiat-to-Crypto Over-the -trading platform, open to the Chinese market.