ShortHop, Cryptocurrency brokerage and exchange is currently operating in further seven U.S. states enabling its clients to work with order books of many trading platforms by utilizing a single window. ShortHop is presently open in Massachusetts, Indiana, New Jersey, Nevada, Arizona, Rhode Island, and Montana. Earlier, the Delaware-based service was accessible in Washington, California, and Illinois.
Presently, ShortHop lists different significant cryptocurrencies. Users can trade and acquire Bitcoin, Litecoin, XRP, Ether, Bitcoin money, and stellar lumens (XLM). Moreover, ShortHop enables clients to “Hop” around these assets without experiencing different conversions on various exchanges. Its technology achieves this by cross ordering books to make synthetic pairs.
Besides, ShortHop’s parent organization, Velocity Markets, Technology service provider, was enlisted as a financial service business with the Financial Crimes Enforcement Network, the exchange needed to apply for increased money transmitter licenses in each state where it expects to work.
Currently, as indicated by Jonathan Kelfer, Velocity Markets CEO, the platform charges zero expenses and even offers its new clients 25 dollars worth of BTC for joining. He additionally opined that ShortHop intends to provide its plug-in service to different organizations shortly.
“ShortHop is a spot market first, but we’re aggregating liquidity across the ecosystem,” said Kelfer, stating that the service is currently served into a total of eight exchanges and OTC (Over the counter) desks.
Even though Velocity Markets (the exchange’s parent organization), is enlisted as an MSB (money service Business) with the FinCEN (Financial Crimes Enforcement Network), ShortHop needed to apply for cash transmitter licenses in each state where it operates. The organization also hopes to be authorized in Utah and Pennsylvania over the coming weeks.
Along these lines, the organization’s model looks like those of Voyager and Fidelity Digital Asset Services, the two of which operates as brokers, helping clients locate the best trades in a profoundly fragmented market. The significant difference is that ShortHop also owns an exchange.
Additionally, Velocity Markets is likewise developing a digital securities exchange. Moreover, it owns a broker-dealer under the legal name Distributed Technology Markets that has an optional trading framework structure on a document at the U.S. SEC (Securities and Exchange Commission). The organization will utilize the broker-dealer permit to empower the digital securities exchange, yet the organization would not unveil when it intends to launch.