Coinbase increases capacity to deal with future traffic
As altcoins and Bitcoin gain popularity, the amount of trading on exchanges can increase substantially.
As some of you may know, there’s an inquiry by NY’s Attorney General into exchanges, especially Coinbase which is the largest. Apparently Coinbase mentioned that it has increased the size of its staff by almost two times and improved on the website’s coding.
Last year around November and December, the number of transactions on Coinbase exceeded the all time high and took them by surprise. This is why they have increased their capacity by at least 1000% to deal with the incoming trading surge.
All of this was mentioned in this letter by Mike (representing Coinbase).
Coinbase has also traded over $150 billion worth of assets on their platform and have more than 300 employees in offices around the world. Including full time contractors, they have almost 1,000 personnel.
Additionally, they have received over $225 million in funding from some of US’ leading venture capital and financial service firms.
What does this letter imply?
Some Redditors hinted at the possibility of Coinbase introducing new coin pairings on the platform. They currently only have four cryptocurrencies that can be traded, i.e. Bitcoin, Ethereum, Litecoin and Bitcoin Cash. Even with only four tokens, they are already the biggest cryptocurrency exchange.
If they include more coins, perhaps it will greatly influence the value of the token. Having said that, all of this is only speculation and buyers be advised to do their own research.
Based on the letter, they’re expecting higher amounts of trading compared to December 2017, which is only good news for the small token holders.
If institutional money pours in, the price of cryptocurrency in general may increase even more. A recent article also hinted at Goldman Sachs creating their own cryptocurrency exchange.
This article first appeared here.
This post has received a 10.14 % upvote from @boomerang.
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but nothing about reducing spreads or fees for transacting? hmmmm
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