Startup Company Coinarch to Test New Bitcoin Trading Platform Next Week

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Startup Company Coinarch to Test New Bitcoin Trading Platform Next Week
Startup Company Coinarch to Test New Bitcoin Trading Platform Next Week

Startup Company Coinarch to Test New Bitcoin Trading Platform Next Week

Coinarch, a comparatively new Bitcoin company that was established a couple of months ago, has announced that it is going to beta test a new Bitcoin trading platform next week. In its announcement the company said that the trading platform will enable leverage bets of up to eight times be placed on the crypto currency whose price will be based on Bitstamp.

Thus, the bets will be placed with the help of prices that are based on Bitstamp, which has emerged as a leading Bitcoin exchange after the collapse of Mt. Gox. It will be a pioneer effort from Coinarch, the Singapore-incorporated company when it moves forward to test its trading technology among a small group of traders.

Coinarch will be testing the Bitcoin trading platform among its select group of people and check whether it ensures security protocols. Also, it will be seen whether user experience and corporate governance satisfy Bitcoin traders, particularly, after Mt Gox collapsed which incurred huge losses i.e. investors lost close to $500 million in the Mt. Gox collapse.

The statement from Coinarch indicates that it will seek to hedge itself against the gains or losses of the investors/traders who trade on testing trading platform. In the beginning the trading platform will only be accepting Bitcoin and focusing a lot on the Asian markets, particularly, investors from Hong Kong and Singapore, the two countries are Bitcoin friendly.

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The Company Wants to Ensure Investors for Top Security

Hong Kong and Singapore are the two countries in Asia that have Bitcoin ATMs. Also, in the past there has not been any crackdown on the digital currency from the regulatory bodies in the two countries. According to Coinarch, focusing on the investors from Singapore and Hong Kong can definitely be a good idea; particularly, when other countries seem to be questioning Bitcoin.

Other countries like India, China, and Australia do not recognize the crypto currency as money and have warned their citizens against investing in Bitcoin. According to Mark Hergott, one of Coinarch’s founding members he is confident about the new venture as a lot of smart money is coming into Bitcoin from venture capital and investment banks.

He hopes that after three to six months Coinarch’s Bitcoin trading platform will gain enough credibility to attract venture capital. However, for it, he says that his company needs to show that the systems are robust and good risk management programs are at the place. According to Mr. Hergott, security is paramount after the Mt Gox. collapse.

To contact the reporter of this story: Deepak Tiwari at deepak@forexminute.com