Blockbid Trading Platform Turns to BitSpread for Extra Liquidity
When it comes to trading cryptocurrency, there’s a certain amount of liquidity that needs to be in place. Whether it’s someone buying a new batch or someone else selling off after a sudden spike, the trader needs to be sufficiently liquid to cover all the various positions involved. Blockbid, one such cryptocurrency trading platform, recently took steps to ensure its own liquidity by setting up an arrangement with BitSpread.
BitSpread has been providing liquidity to a range of firms for quite some time now. Since Blockbid offers “trading with confidence” as one of its key vision points, having a firm around to help back up liquidity is likely a smart move. This will also help keep the spread down—the effective distance between cryptocurrency and fiat trades—and improve the cost of trading from there. It also adds an important element of risk management to the operation that makes it a more attractive trading partner.
Blockbid’s chief operations officer, David Sapper, noted “In order to continue to position ourselves as a leading cryptocurrency exchange, we need to ensure the companies we work with complement our offering and BitSpread do just that. Their wealth of experience adds another layer of expertise to our platform and ensure we adhere to our core messaging of trading with confidence.”
Bringing in BitSpread represents effectively a kind of insurance for Blockbid, and that insurance helps assure it will be able to effectively continue its operations. No one wants to run into an operation where costs are unusually high or transactions take longer than normal to process. These aren’t positive ways to differentiate from the competition, and given how much competition is out there already, Blockbid needs positive differentiation strategies, not negative. With BitSpread, it can keep many of the potential hassles out of the picture and make itself better in the process.
The BitSpread connection should prove positive, and likewise should give Blockbid a little extra credibility in the field, drawing users into place as cryptocurrency itself becomes more mainstream and customers look to buy in.