BitKan Launches a Bitcoin Cash OTC Trading Service Through Their Mobile App

One of the drawbacks about Bitcoin Cash is how OTC trading is still limited or non-existent. That is not entirely surprising, as the altcoin was only created a few weeks ago. Bitkan, a trading service provider, will launch their BCH OTC trading service. This feature will be available through their mobile app and should introduce more competitive exchange rates. It is an interesting idea, assuming there is any demand for it. With the novelty regarding Bitcoin Cash wearing off, it seems there’s less interest in this altcoin as well.

It is evident peculiar things are going on in the Bitcoin Cash ecosystem. With the original hype dying down, the reality is starting to set in. Some mining pools effectively mine BCH whereas others simply ignore this altcoin for the time being. Its exchange volume is also dwindling, as is the BCH price. However, that may all come to change in the near future, thanks to Bitkan. In Asia, the company is well-known for their Bitcoin-focused trading service. They also have a mobile app which packs quite a bit of functionality.

Bitkan Introduces BCH OTC Trading

According to our information, this mobile app will get some additional functionality soon. More specifically, a Bitcoin Cash OTC trading solution will be integrated soon. This is the first time we see BCH OTC trading through a mobile app come to market. Until now, virtually all Bitcoin Cash-related trades take place across the many exchanges supporting it. Those prices are seemingly easy to manipulate, though. This OTC trading solution is designed to make people rely less on exchanges and hopefully create more competitive pricing for BCH as well.

This also indicates Bitkan thinks Bitcoin Cash has a great future. The rest of the Bitcoin community doesn’t necessarily share that opinion, though. With the mining difficulty ‘bug” a topic of debate, that situation won’t change soon. It is evident there will be some mud-slinging between both sides for some time to come.  While it is true mining pools support BCH right now, they tend to pivot when profitability drops. That is, until someone triggers the EDA and crashes the mining difficulty again. It’s an interesting development, although one that may end up hurting BCH in the long run.

Whether or not this move by Bitkan will bring big changes, remains to be seen. Bitcoin Cash will always be treated as an altcoin. It has seen some big momentum in the first week However, the price is in nearly constant decline over the past few days. This OTC trading feature will not necessarily push up the BCH value all of a sudden. Still, it’s good to see companies experiment with the opportunities that present themselves. Rest assured this is not the last we hear of BCH and how it “can become a better Bitcoin”.

Subscribe to our newsletter

Bitcoin exchanges are among the few companies who do not necessarily pivot their business model over time. Taurus, a company founded back in 2014, is doing something different, though. The company will steer away from professional day trading in favour of a more mainstream approach. A rather refreshing turn of events, as it goes to show mainstream users want easier access to cryptocurrency right now.

It is quite interesting to see Taurus change their business model in a positive manner. Unlike Circle, who want to focus more on everything non-Bitcoin right now, Taurus is all-in on cryptocurrency. In fact, they are one of the few companies openly steering away from professional day trading. The majority of Bitcoin trading is day trading and speculation, and there are plenty of platforms for this type of activity.

Taurus Halts Online Bitcoin Exchange Service

To be more precise, Taurus will focus more on mainstream users. Making Bitcoin more accessible to buy and sell is the number one priority right now. The decision is a result of analyzing data between 2014 and early 2017. With over 4,000 users making use of the Taurus platform, the company received a solid pool of data analytics to make a calculated decision in this regard.

Come February 1st, Taurus will become a premium concierge service for direct brokered Bitcoin sales. Clients will be able to buy and sell bitcoins over-the-counter at flat rates, which will improve the global appeal of cryptocurrency. It appears the company feels Canada is warming up to Bitcoin, and an exciting future lies ahead. It remains to be seen how this business pivot will turn out. Making it easier for mainstream users to get involved in Bitcoin is a positive thing, though.

All Taurus clients are advised to withdraw their funds before February 1st. The current platform will shut down entirely and be replaced by the OTC offering. It is quite interesting to note Taurus refers their clients to QuadrigaCX for limit and market orders. Then again, there are other online Canadian Bitcoin exchanges to choose from. Always do your own research before following someone’s advice blindly.

Sadly, the departure of Taurus means the online Bitcoin exchange market in Canada shrinks again. Although there are multiple companies still active today, it seems like surviving is becoming more difficult every year. In the end, the company is not going away entirely, and simply explores a different business model.OTC Bitcoin buying and selling can help push cryptocurrency adoption to mainstream levels over the next few years.

Header image courtesy of Shutterstock

Whenever a company in the Bitcoin space reaches a significant milestone of investment, there are those who oppose the entire idea of using digital currency in the first place. Bitcoin Investment Trust (OTCMKTS: GBTC) recently released some details on how they surpassed the US$65m mark regarding investments. Shortly afterwards, an article was posted on Seeking Alpha, mentioning how Bitcoin Investment Trust is the “Dumb Investment of The Week”. Quite a clash of statements to say the last.

Also read: First Type of Bitcoin Ransomware Discovered on Apple’s Mac OS

Bitcoin Investment Trust Reaches Milestone

People active in the world of Bitcoin and digital currency may know the name Bitcoin Investment Trust, as this company is publicly trading on the OTC markets under the GBTC ticker. Moreover, the company can also be found on the ARK Web 0.x ETF , which is traded on the Nasdaq exchange.

What makes the Bitcoin Investment Trust so appealing to investors is the concept of being the first publicly quoted securities deriving value from the Bitcoin price only. Keeping in mind how the Bitcoin price can be quite volatile at any given time, there is a lot of potential for big gains – or big losses – which are not uncommon in the traditional stock markets either.

However, investors would not have to worry about the hassle of buying and storing Bitcoin themselves, as they can be exposed to the Bitcoin price movement through a traditional investment vehicle. Combining traditional finance with Bitcoin and digital currency is a concept a lot of people are very excited about, which might explain the recent announcement by Bitcoin Investment Trust.

Bitcoin, Bitcoin investment trust, Bitcoin trading

Based on a recent Medium post by Brian Cohen, it appears as if Bitcoin Investment Trust has gathered over US$65m in investments so far. This shows there is a definite demand for the services provided by this company, although not everyone will see it that way. Keeping in mind how the company filed an SEC form for close to US$62m in March of last year, there is a substantial growth for Bitcoin Investment Trust.

While close to US$4m might seem like a significant amount to some people, it is important to keep in mind how investors can cash out through the GBTC vehicle. The ticker traded at US$52 – a decline by roughly 3% – last Friday, Whether or not this is a sign of people cashing out, is unknown at this time. Brian Cohen’s calculations show GBTC is valuing Bitcoin at a premium rate of 25%, which is quite high.

Why Should You Invest in Bitcoin 

The fine people over at Seeking Alpha posted some interesting counter arguments as to why people should not invest in Bitcoin Investment Fund. Even though they openly admit they do not like Bitcoin or digital currency, as it will ultimately fail as a currency due to inherent flaws. Calling bitcoins the “Dumb Investment of the Week” seems to be a sign of shortsightedness, but that is a topic of debate for a different time.

Some people fail to realize Bitcoin is entirely different from traditional finance, and comparing apples and pears will only be viable up to a certain extent. Concepts such as “currency” and “intrinsic value” are very different in the digital currency realm. In fact, “currencies” and “vehicles with intrinsic value” are not doing too well in traditional finance either right now, which makes them an equally dumb investment right now.

Ben Strubel posted his thoughts on the Seeking Alpha blog, explaining how the limited coin supply of Bitcoin will make it difficult to use as a currency. However, he makes no mention of Bitcoin being divisible up to 8 spaces behind the decimal, now how it was never the intention to have every person on this planet to hold one Bitcoin. While some of his other points touch upon valid subjects, this is clearly a matter of different opinions.

Sources: Medium / Seeking Alpha