Cardano

Counterparty

Read

<img width="1280" height="720" src="https://coingape.com/wp-content/uploads/2023/11/binance-1.jpg" class="attachment-full size-full wp-post-image" alt="Binance sol shib matic" decoding="async" style="float:right; margin:0 0 10px 10px;" srcset="https://coingape.com/wp-content/uploads/2023/11/binance-1.jpg 1280w, https://coingape.com/wp-content/uploads/2023/11/binance-1-300x169.jpg 300w, https://coingape.com/wp-content/uploads/2023/11/binance-1-1224x689.jpg 1224w, https://coingape.com/wp-content/uploads/2023/11/binance-1-768x432.jpg 768w, https://coingape.com/wp-content/uploads/2023/11/binance-1-678x381.jpg 678w, https://coingape.com/wp-content/uploads/2023/11/binance-1-150x84.jpg 150w" sizes="(max-width: 1280px) 100vw, 1280px">
Binance has launched a pilot program that enhances the safety and efficiency of institutional trading. This initiative, announced on November 30, allows institutions to trade cryptocurrencies without the necessity of depositing collateral directly on the exchange. 
<h2 id="a-safer-trading-environment">A Safer Trading Environment</h2> 
This program marks a notable shift towards a more <a href="https://coingape.com/binance-terraclassicusd-ustc-blur-trading-pairs/">secure</a> trading environment. Institutions participating in the program can now store their trading collateral with a third-party bank. This setup mirrors practices in traditional financial markets, catering to the varied risk tolerances of different investors. By allowing the option of keeping collateral in cash or Treasury bonds, institutions gain the opportunity to earn yields while actively trading in the crypto market. 
<h2 id="binance-s-forward-thinking-approach">Binance’s Forward-Thinking Approach</h2> 
Catherine Chen, a Binance executive, highlighted the company’s <a href="https://coingape.com/coinbase-ceo-its-time-to-turn-the-page-after-binance-settlement/">commitment</a> to addressing the long-standing concerns of counterparty risk in institutional investing. “Our team, comprising both crypto natives and traditional finance professionals, has dedicated over a year to develop this banking triparty agreement,” Chen stated. She also emphasized ongoing discussions with various banking partners and institutional investors who have shown keen interest in the program. 
Counterparty risk, a prevalent concern in finance, refers to the potential default on a contractual obligation by a party involved in a transaction. This risk is compounded in centralized exchanges as traders typically need to deposit their assets on the exchange. Binance’s new pilot program significantly mitigates the risk, providing safety and reassurance for institutional investors. 
The move by Binance is not isolated in the industry. On November 28, Deribit, another prominent crypto exchange, partnered with Fireblocks, an MPC wallet provider, to <a href="https://coingape.com/deribit-introduces-xrp-matic-and-sol-options/">introduce</a> a cryptographic solution enabling traders to perform swaps without exchanging deposits. 
Read Also: <a href="https://coingape.com/cardano-founder-and-xrp-community-are-at-each-others-throats-again/?utm_source=cgtelegram">Cardano Founder and XRP Community Are at Each Other’s Throats Again</a> 
The post <a rel="nofollow" href="https://coingape.com/binance-introduces-custody-solution-for-institutional-traders/">Binance Introduces Custody Solution for Institutional Traders</a> appeared first on <a rel="nofollow" href="https://coingape.com">CoinGape</a>.

Binance Introduces Custody Solution for Institutional Traders

목차

Coingape News Media

2023년 11월 30일에 게재된 다른 기사

Binance Operates Without a License in the Philippines

Eggverse and SPLabs team up to venture into Southeast Asian Web3 market

Cardano Could Print New 2023 Highs As Over $1,800,000,000 in ADA Accumulates at Current Levels: T...

From Bitcoin to Altcoins: Why This Is the Moment to Enter the Crypto Market

Crypto Gaming Platform Duelbits Collaborates with Football Star Luis Suárez

Suspicious Whale Withdraws $51 Mln Worth ETH, SHIB, And Other Cryptos From Binance

무료 뉴스레터에 가입하여 매일 최신 암호화폐 소식을 받아보세요!