Following on the decision by Coinbase to list XRP on its platform, major Chinese cryptocurrency exchange Huobi Global has also launched Ripple trading on its peer-to-peer crypto trading platform Huobi OTC. The company announced the news on March 6 in a press release shared with KryptoMoney.
Huobi OTC users will now be able to trade Ripple(XRP) for Bitcoin(BTC), Ether(ETH), Tether(USDT) and EOS in addition to Huobi’s own token Huobi Token (HT) and USD stablecoin HUSD according to the press release.
In OTC (Over-The-Counter) Trading two parties can transact directly with each other without going through an intermediary like an exchange. Unlike trading on an exchange though, OTC trading is fraught with settlement risk. This is where a platform like Huobi OTC can add value by providing escrow services to facilitate settlement between buyers and sellers.
Livio Weng, Huobi Global CEO, is quoted in the press release as saying that Huobi OTC is the main platform for Huobi global users who prefer to trade on a peer-to-peer basis and “very important to our overall trading ecosystem”
As per Coinmarketcap data, Huobi Global is the 12th largest cryptocurrency exchange by volume, with 24h volume of $556 million as on March 7th. As reported by KryptoMoney in January 2019, Huobi has seen volumes climb to $20 billion in less than 2 months in its newly launched crypto derivatives platform. The company also reported a 100% increase in trading volumes over the previous 12 months in February.
XRP prices were relatively unchanged on the news. In fact, in spite of all the positive news regarding Ripple in the last few weeks, XRP has traded in a range of 0.29 to 0.34 in the last 30 days, meeting stiff resistance at 0.34 on 2 occasions. The price action is similar to other major cryptos including BTC and ETH who have also struggled to break out of a range.
Source: Coinmarketcap.com
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