UK-based bitcoin exchange Coinfloor announced a slew of new updates today, including an over-the-counter (OTC) market for large, institutional bitcoin traders and a "proof of solvency" audit process.
Coinfloor is now also offering 0% commission for all clients for 60 days. The service updates notably follow the exchange's re-opening of user registration on 27th March, which had been delayed since November.
Perhaps most notable of the announcements was the opening of the OTC market, which Coinfloor suggested would pave the way for institutional investors to begin exploring bitcoin.
Said Coinfloor CEO Mark Lamb:
The announcement is notable as it indicates that a similar strategy to the one pioneered by SecondMarket and Bitcoin Investment Trust CEO Barry Silbert is also finding success overseas. Silbert discussed his vision for opening up bitcoin investing to the general public widely earlier this year, and his plan involved finding an acting market maker and using an OTC exchange.
Lamb indicated that Coinfloor has also partnered with a regulated firm to provide this support.
Speaking broadly about the past failures of bitcoin exchanges, Coinfloor discussed that auditing is necessary, as bitcoin businesses are essentially third parties that must be granted trust.
Part of this process will be making Coinfloor "publicly auditable", thereby allowing users to validate the company's records and compare them to the bitcoin ledger.
Read the announcement:
OTC markets and 0% commissions
Further, it urged others in the industry to follow its lead, explaining:
Coinfloor also reduced trade commissions for a limited time, revealing it will waive all trade commissions to all interested parties through 15th June.
Bitcoin in the UK
To date, Coinfloor is the only UK-based bitcoin exchange, though others are reported to be in development.
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