Quoine Exec: Asset Segregation is Critical on Crypto Platforms

[Magician]

Either by disaster or simple attrition, the cryptocurrency exchange landscape is evolving. Over the last two years, crypto exchanges have come and gone at a rapidly accelerating pace–as hordes of new crypto investors entered into the market, savvy entrepreneurs followed them with new exchanges.

However, many of these new exchanges–some of which were created hastily–did not have adequate security measures.

Others still found themselves unable to comply with the increasing demands of the governments of their associated jurisdictions; they have been forced to shut down or have been all but abandoned by their user bases. Even some exchanges that were around since before the crypto boom were crushed under the weight of the demands that came with it or by the bear market that followed in its wake.

So what is it that has allowed some cryptocurrency exchanges to stay successful–and even flourish–in spite of the trials and tribulations that the crypto market has faced over the last two years? Nick Chong, head of North America at Quoine, told us how his exchange has made its way through the ever-evolving crypto industry landscape.

Fate & Circumstance

Chong’s involvement with Quoine “started like many things in life,” he said. “it was a combination of coincidence of circumstance and correct timing.”

Chong said that his attraction to work with Quoine was largely based on the fact that Quoine was heavily focused on the institutional financial side of crypto trading long before most other exchanges were interested in attracting institutional investors.

“I think that Quoine is quite unique actually as an exchange Quoine started operations in 2014–one of the things that really impressed me about them was that from the very beginning, it was decided that as a cryptocurrency exchange, it would be focused on financial-grade crypto exchange services.

“Although that’s probably not something that seems very unique today, when you see a lot of the different institutional investors looking at Bitcoin and cryptocurrencies. Around that time, the Mt Gox crash in Japan still hadn’t happened–and a lot of other exchanges were [perhaps] run by competent technical teams, but were not competent from a financial standpoint,” he explained.

“And that is something that I found was very visionary from the point of view of Quoine’s founders to want to pursue that. And I think that ultimately, it’s something that has distinguished Quoine a lot from our competitors, even today.”

”The US market–in terms of exchanges–is a very, very competitive market.

“We recently announced our expansion into the US,” Chong said. “I think that the US market–in terms of exchanges–is a very, very competitive market. But because of the presence of institutional investors and a large population base, I believe that in surveying the different US-based exchanges, they are heavily focused on their domestic US market.

“And I think that they’re doing a relatively good job in that market as well,” he added. “So, we’ve pondered for ourselves: what can Quoine bring the USA as an exchange–what can we bring to the table? And I think there are a couple of things worth mentioning.”

“One of them is our liquidity,” he said. “The BTC-to-JPY trading pair is one of the highest-volume pairs in the world. And Liquid [(Quoine’s trading portal)] –we are the number one exchange in Japan for spot trading on Bitcoin. On a few occasions, our daily volume has surpassed that of all the other Japanese exchanges combined, for example.”

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