Coinbase to allow trading for the fifth cryptocurrency on their platform
Coinbase, the leading cryptocurrency exchange in the US, has opened its gates for the fifth cryptocurrency on their platform. Coinbase, on Monday, announced that they will be offering trading facilities to its users for Ethereum classic in coming months.
Post this announcement, the price of Ethereum classic shot up by 20% within one hour. Ethereum classic was created by a group of developers after a cyber attack on the cryptocurrency. The whole team split in two and hence Ethereum classic was born. Since they had to start a whole new blockchain to support the brand-new cryptocurrency, the investors were hesitant and hence the cryptocurrency that was ranked second fell down to under 20.
Currently, Ethereum Classic ranks 18, as per coinmarketcap. Furthermore, the cryptocurrency has a market share of $1.5 billion, where Ethereum is $53.3 billion and Bitcoin is $117.8 billion. Coinbase is working on the technical integration part. Post which the addition will be made public and customers will be able to trade Ethereum classic with the top security they had for the other four cryptocurrencies.
While other exchanges kept growing in a number of tradeable cryptocurrencies on their platform, coinbase was cautious enough to offer only those approved by regulatory bodies in the US. When Coinbase was testing Bitcoin Cash before supporting trading of Bitcoin Cash it on their platform, insiders were trading the news publically, for which they are investigating right now. Having learned from this, Coinbase is making sure no one from the inside trades this news publically.
“We followed our public process for adding new assets to Coinbase. Also, any personnel at Coinbase who were aware of the company’s plans to add Ethereum Classic were subject to a trading blackout,” Coinbase said in a blog post.
Frequently asked questions(FAQs)
Q) What is Ethereum classic? How does it differ from Ethereum?
Q) When will Ethereum classic be available for trading?
Coinbase is in stage four (engineering work) of integration of Ethereum classic on their platform. After this phase, will the final and most important phase, the testing phase. Once this is successfully done, which will be happening in coming months, the trading will be globally accessible.
Q) What geographies will Coinbase support the new asset?
All the geographies where Ethereum classic is legally accepted. That is, all the countries where Ethereum classic is compliant with local law and hence making both, Coinbase and Ethereum Classic, legal for its users.
Further reference: Coinbase FAQ - Ethereum Classic