Binance Labs has reportedly invested $3 million in Koi Trading, an over-the-counter (OTC) cryptocurrency trading startup headquartered in San Francisco. Koi is designed to be a reliable OTC pathway for institutions to enter the crypto market while also offering research and consulting services.
As reported by CCN, Ella Zhang, head of Binance Labs, says the platform aims to give Wall Street investors a fully compliant and secure way to enter the market.
“Koi Trading’s mission is to bridge fiat and cryptocurrencies in a compliant manner. This aligns with our broader vision at Binance to build the infrastructure which provides the freedom of value exchange globally.”
Hao Chen, CEO and founder of Koi Trading, says China in particular has seen a rise in OTC trading since the country banned crypto exchanges late last year. Chen hopes to offer a more professional and compliant way to facilitate OCT trading in the country.
“Our team of experienced traders and sales personnel will join forces to tap into vast networks of counterparties in North America, Asia and the EU, bridging the gap that divides the current OTC landscape.
With Koi’s robust AML program, extensive banking relations in the US, investment from Binance Labs, and strong trust amongst counterparties in Greater China, we aim to be the market nexus that reduces trust and information asymmetry and improves cryptocurrency OTC deal close rate.
Binance joins a chorus of industry leaders, including Circle, Coinbase and Intercontinental Exchange, in a global effort to build the kind of compliant and secure infrastructure that will bring big institutional money into the crypto space.
In addition to North America, Koi also has satellite locations in Hong Kong and Europe.