Founded for nearly 8 years, the Blockchain wallet company, this time and the currency, Coinbase died?

Blockchain , one of the oldest (founded in 2011) companies in the bitcoin industry, has just launched its own trading platform, The PIT , which, according to the introduction, will be an institutional-level cryptocurrency trading platform that will also cater to Retail market.

According to Nicole Sherrod, the product owner, the hosted exchange can connect to its un-chained wallet and conduct almost real-time transactions, and the exchange will be online 26 in the next two weeks. Trading pairs (mainly related to BTC, ETH, BCH, LTC, PAX, USDT and US Dollar, Euro and other legal currencies).

P1

(Image courtesy of Blockchain.com)

To date, Blockchain has provided more than 40 million wallet users, although considering that a single user has multiple wallets, Blockchain is still one of the most wallets in the industry.

We briefly review the history of Blockchain:

  1. In August 2011, Bitcoin data service company Blockchain.info was formally established;
  2. In December 2013, Blockchain.info acquired ZeroBlock;
  3. On October 6, 2014, Blockchain announced the completion of the A round of $30.5 million in financing;
  4. On June 23, 2017, Blockchain announced the completion of the B round of $40 million financing;

In the past few years, the blockchain company has been focusing on wallet and browser services, and has not expanded other lines of business.

Perhaps these businesses are not making money, or perhaps because the exchange business is too profitable, Blockchain eventually turned to the exchange business, which is similar to another American company Coinbase, except that the Blockchain transformation is more than four years later. .

How to compete with Binance and Coinbase?

Interestingly, when Blockchain promoted its own platform, it also mentioned the two head exchanges, namely, Coinbase and Coinbase, and hoped that they could compete with them.

In fact, as early as the beginning of 2014, CZ founder CZ served as the head of the Blockchain wallet business technology, then transferred to the exchange business, and eventually created the currency security.

Coinbase, which was originally considered a Blockchain contender, chose to launch its own exchange as early as the beginning of 2015, and then broke the Blockchain all the way.

Now that both Coin and Coinbase have developed into the benchmarks of the exchanges in the industry, how the Blockchain competes with them is obviously a big question mark.

When talking about competitiveness, the owner of Blockchain mentioned:

“The platform will measure the transaction speed in “microseconds”, just like traditional asset exchanges. In terms of liquidity, Blockchain has reached an agreement with global market makers to allow traders to trade with others at any time.”

In response to this statement, an anonymous industry expert expressed skepticism that the performance of many infrastructures is “almost impossible to model”, so the system can only prove itself in the “real volume” test.

In addition, Sherrod added:

“We want to compete on the overall customer experience.”

From the current point of view, the advantages of Blockchain do not seem to be enough to make it a threat to platforms such as Coin and Coinbase.

And only time will tell if Blockchain can occupy a place on the fierce exchange track. In addition to the competitive factors, the supervision cost here is very high.

Sherrod said that Blockchain is applying for a new license in various jurisdictions, but it does not specify which ones.

Are you optimistic about The PIT? Tell me what you think.