KuCoin launches OTC desk to help enterprises access tokens

Getting your Trinity Audio player ready...

KuCoin digital currency exchange has launched an enterprise currency desk (ECD), a spin-off of the traditional over-the-counter (OTC) desk. The new platform will target enterprises that seek to venture into blockchain technology, giving them enhanced access to tokens and other forms of decentralized finance.

The exchange revealed that it has partnered with DigitalBits on the project. DigitalBits offers a protocol layer blockchain that supports consumer digital assets, majoring on branded currencies. Hailing it as the first of its kind, the ECD desk will enable KuCoin to offer customized solutions for the acquisition of digital assets to its clients.

In a press release announcing the new desk, the exchange described it as a “designated service to address token procurement and liquidity will allow companies to easily engage in blockchain-based solutions, without having to employ experienced traders to obtain and utilize large amounts of tokens.”

The ECD desk will operate as a subscription offering, similar to an OTC desk, allowing brands to access tokens at a time when their use has spiked. The enterprises will be able to customize the product to suit their needs, reducing the friction previously experienced accessing tokens in large quantities.

DigitalBits will play a crucial role, serving as the intermediary between the enterprises and the exchange. Initially, the ECD desk will only support the company’s native token XDB, with plans to add other tokens in the near future. KuCoin will provide the network layer on which the businesses can create and exchange the tokens.

In his remarks, Johnny Lyu, the CEO of KuCoin Global recognized the rising demand for branded digital currencies. He added, “We are focused on assisting brands and other enterprises to easily obtain the cryptocurrencies they require for their business, without the need to internally employ experienced traders to pursue the complex task of purchasing significant amounts of tokens.”

KuCoin has continued to grow and now serves over 5 million users in over 100 countries globally. Backed by tech giant IDG, the exchange offers several digital currencies on its platform, including Bitcoin SV which it added late last year. In its most recent move, it established a group company in line with its restructuring process. Known as KuGroup, it’s headed by Lyu and oversees the KuCoin Global, KuCloud and KuChain.