Popular cryptocurrency and digital asset exchange Huobi has launched a regulated OTC trading desk for institutional investors. The development is first reported in a Huobi blog post on May 15.
It is to be noted that Huobi OTC Desk, the new over-the-counter cryptocurrency trading platform, is fully regulated by the Gibraltar Financial Services Commission (FSC). The platform enables key crypto-to-crypto and fiat-to-crypto trading pairs.
Interestingly, the new OTC trading desk, unlike the existing Huobi’s over-the-counter retail products, enables a principal OTC trading process under Huobi Technology. Furthermore, the firm clarified that Huobi Technology is Huobi’s regulated OTC trading entity in Gibraltar and the existing OTC offering on otc.hbg.com enables peer-to-peer tradings under Huobi Global.
Senior Sales Manager for Huobi Global, Jeff Adams mentioned that the launch of Huobi over-the-counter Desk was driven by demand from investors for large volume transactions. While speaking, he also claimed that the company has seen an unfilled requirement for such services.
Adams, while speaking at an event in New York, also noted an upsurge of interest by traditional traders who are still uncomfortable plunging into unregulated trading environments.
As per the announcement, Huobi OTC Desk supports major digital assets including bitcoin and ether, as well as fiat currencies including the United States dollar, Euro, and British pound sterling.
It is to be noted that the launch of exchange’s regulated OTC Desk follows the firm’s acquisition of a DLT license from the Gibraltar FSC in late 2018. Interestingly, the aforementioned acquisition enabled Huobi to attract institutional investors.
Huobi reported, earlier this year, that its peer-to-peer over-the-counter desk has become one of the most traded over-the-counter platforms around the globe. Interestingly, the desk offers OTC transactions in various cryptocurrencies including ether, bitcoin, EOS, Huobi Token, major stable coin tether, as well as XRP.