Cryptocurrencies need to enter the next stage of maturity. For many service providers, that means attracting additional institutional investors. Binance is the latest company to target this particular group. New services are being developed to ensure professional investors can enter the crypto market with confidence.
Another Major Move by Binance
It has been a very interesting year for Binance. The world’s leading cryptocurrency exchange continues to make inroads in many ways. Its venture into Uganda has been well-documented this year. There is also the move to Malta in search of more favorable regulatory measures. Malta is often considered to be the most open-minded regarding cryptocurrencies and blockchain technology.
In a new turn of events, Binance wants to cater to professional traders. The company is developing new services for institutional-grade speculators and investors. This is in line with the company’s ongoing mission to focus on security and reliability. Institutional traders are a key demographic for the cryptocurrency industry. Numerous companies aim to tap into this market over the coming years.
By working on numerous products, Binance aims to gain a competitive edge. Some of the upcoming features have been highlighted in a new report. Support for sub-accounts is one of the more noteworthy changes being introduced. Any transfer between sub-accounts will also occur without paying fees. These ‘quality of life’ improvements can be crucial to institutional traders.
A Difficult Group of Users to Convince
Given the number of crypto-related ventures focusing on institutional traders, Binance will face an uphill battle. To date, very few of these vehicles have proven to be very successful. Even the Bitcoin futures products are not making the impact many people expected at first. Nor is the industry any step closer to receiving a Bitcoin ETF.
With the help of Binance, however, things may look very different. The company is making a lot of strategic decisions which seem to work out well. Its new strategic analysis division has already gained some attention. Moreover, the firm continues to expand globally at an aggressive pace. Singapore is the next region of keen interest to the company. With the help of Vertex Ventures, a new fiat-to-crypto trading platform will be established.
As cryptocurrency continues to mature, institutional traders become all the more important. If the ecosystem doesn’t find new investors, stagnation may be the logical outcome. Fresh capital needs to enter the industry sooner rather than later. Binance may help pave the way for a brighter future in this regard. Together with Bakkt, the landscape may look very different in a few months from now.
Do you think that Binance will succeed in attracting the much-sought-after institutional investors? Let us know in the comments below.
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