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Major global crypto exchange Huobi has launched a regulated over-the-counter (OTC) trading desk for institutional investors. Titled “Huobi OTC Desk”, the desk is fully regulated by the Gibraltar Financial Services Commission (FSC), and enables major fiat-to-crypto and crypto-to-crypto trading pairs.

Unlike the existing Huobi’s OTC retail products, the new OTC trading desk enables a principal OTC trading process under Huobi Technology, Huobi’s regulated OTC trading entity in Gibraltar, while the existing OTC offering on otc.hbg.com enables peer-to-peer (P2P) tradings under Huobi Global, the firm clarified.

Jeff Adams, Senior Sales Manager for Huobi Global, stated that the launch of Huobi OTC Desk was driven by demand from investors for large volume transactions, claiming that the company has seen an “unfilled need” for such services.

Speaking at a special Huobi meetup event in New York, Adams also stressed a surge of interest by traditional traders who “are still uncomfortable jumping into unregulated trading environments.”

According to the announcement, Huobi OTC Desk supports major cryptocurrencies such as bitcoin (BTC) and ether (ETH), as well as fiat currencies including the United States dollar (USD), euro (EUR), and British pound sterling (GBP).

The launch of Huobi’s regulated OTC Desk follows the firm’s acquisition of a Distributed Ledger Technology (DLT) license from the Gibraltar FSC in late 2018, which enabled the exchange to attract institutional investors.

In early 2019, Huobi reported that its P2P OTC desk has become one of the most traded OTC platforms worldwide. The desk offers OTC transactions in bitcoin, ether, eos (EOS), major stablecoin tether (USDT), Huobi Token (HT), as well as ripple (XRP), which was listed in March 2019.

OTC trading saw significant growth in 2019, with Binance exchange reporting that its OTC offering drove major profits for much of last year.

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Image by StartupStockPhotos from Pixabay

James Preston
James is the Project Lead at SA Crypto. He has a passion and skill for communications, and his career has gained him recognition while working at East Coast Radio, and success on his personal Blog which won three South African Blog Awards. James spent a number of years as a pastor, where he and his wife served some of the poorest communities in the world. It was this regular experience with the economically disadvantaged that made him research & write about society's economic landscape, subsequently leading him to the Bitcoin whitepaper back in 2012, where he began his blockchain journey.