US major cryptocurrency exchange, Coinbase has successfully performed the first Over-the-Counter (OTC) transaction from a cold wallet, according to Coinbase’s blog on March 13.
Specifically, the Coinbase custodial tool has reportedly been fully merged with the US-based firm’s OTC desk, thus giving the users the ability to double check pricing details and verify the transactions before executing the final trade.
Coinbase Custody aims to help customers effortlessly liquidize their cold storage fund, and with the new Coinbase OTC desk integration, it takes significantly less time for Custody customers to gain access to their own money and shorten the waiting period.
Coinbase co-founder and CEO Brian Armstrong have previously shared his perspective about 4 commonly mistaken ideas about digital assets custody solutions. According to Armstrong, a hot wallet is not entirely the key player every time transaction speed and flexibility are involved.
Armstrong believed that the income crypto users made by with a Proof-of-stake (POS) investment coin don’t have to always be kept in a hot wallet. The Coinbase CEO has also shone the light on the connection between a single-key holder and hot/cold wallets while claiming that hardware security modules can rival cold storage in terms of safekeeping.
Following the establishment of Coinbase OTC trading desk in November 2018, Coinbase head of the Sales department has mentioned rapidly rising interest for OTC trading from customers, and they will greatly benefit from the availability of both the OTC trading services and the company.