Internet entrepreneur twins Cameron and Tyler Winklevoss owned cryptocurrency exchange Gemini is set to launch a fully electronic block trading facility for cryptocurrencies. It will go live at 9:30 am Eastern Time on Thursday April 12.
In a blog post, Cameron, co-founder and president at Gemini, said the launch Gemini Block Trading is part of the company’s mission to continue to improve and expand its platform. This platform will enable the company to attract large traders such as hedge funds and institutional buyers who generally buy in blocks or bulk.
“Block Trading enables our customers to buy and sell large quantities of digital assets outside of Gemini’s continuous order books, creating an additional mechanism to source liquidity when trading in greater size,” Cameron wrote.
Block trades are generally executed only over the counter until now. Investors will from now be able to conduct block trades of cryptocurrencies such as bitcoin and ether electronically online outside of Gemini’s order books.
According to the website, it will now roll out block trading for bitcoin and ether, with a minimum threshold of 10 bitcoins or 100 ethers for the block trades. Gemini recently said the exchange is looking to add trading in cryptocurrencies such as bitcoin cash and litecoin.
Any customer can place a block order that specifies buy or sell, quantity, minimum required fill quantity, and a price limit or Indication of Interest.
After these details are provided, if a market maker agrees to “make a market” that satisfies the Indication of Interest, the block order will be filled, with an expiry time of 60 seconds.
In order to offer the investor equitable, transparent, and rules-based marketplace, Gemini will electronically broadcast block orders to participating market makers simultaneously, ensuring best execution and price discovery for those participating in the program.
“Block orders do not interact with our continuous or auction order books. Trade information will be published via our market data feeds ten minutes following the execution of a block trade,” the blog post added.
by RTTNews Staff Writer
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