• Coinbase has launched an expansive institutional-based trading platform, Coinbase Prime, for the execution of large order cryptocurrency trades.
• The exchange is also committing funds to grow its consumer products and expand its industry dominance.

Ascendant US crypto exchange Coinbase has launched Coinbase Prime, a comprehensive trading platform for institutional investors to trade cryptocurrencies. The platform is developed to handle orders that are typically larger compared to those of Coinbase’s retail customers.

We’re launching Coinbase Prime to all institutions.

“All the tools and services you need to invest at scale, making it the most comprehensive platform for institutional investors,” Coinbase Institutional tweeted Monday. Greg Tusar, Coinbase’s vice president of institutional product said;

Coinbase Prime combines advanced trading, battle-tested custody, and financing in a single solution,

The platform has an array of features and tools for venturing into crypto markets including custody and trading. Moreover, Tusar says clients have used Coinbase Prime to “execute some of the largest trades in the industry” since its May beta launch. Firms like MicroStrategy Incorporated, One River Asset Management, and Hong Kong-based Meitu Inc., have executed large purchase orders.

Coinbase Prime and institutional investors

In a letter to shareholders earlier this year, the exchange reported that it had 9,000 financial institutions on board. It has also secured partnerships with market leaders such as Tesla CEO Elon Musk. Already, Coinbase has worked directly with a cluster of institutions to complete over-the-counter (OTC) trades and asset custody.

Coinbase Prime allows investors to expand their portfolios to include digital assets. The platform has proved successful even in its testing phase as institutions’ interest in cryptocurrencies surges.

Other than listing on the NASDAQ as a publicly traded company, Coinbase has revealed plans to raise $2B in funds through a debt offering. The company has also committed to reinvesting $500M into crypto assets. Even more, Coinbase has established a protocol team to integrate its layer-2 platforms into its consumer products. All these points towards offering more consumer products to capture a more international audience.

Other than Coinbase, institutions such as Grayscale Investments have contributed to the inflows of the crypto market. Currently, the company has $43.7 billion in assets under management (AUM). Grayscale has also driven institutional adoption by launching a DeFi Index Fund and a number of SEC-reporting trust funds.

The bigger picture

“In the coming months, our teams are eager to introduce powerful solutions such as real-time market analytics and a mobile app that enables portfolio access and consensus on-the-go,” Coinbase says.

Yesterday, Coinbase shares closed at $236.53, down 3.53 percent from the previous close, according to MarketWatch. COIN shares plummeted 20.5 percent in May following the crypto markets crash, S&P Global Market Intelligence shows. However, the stock has recorded gains of 6.32 percent in 3 months, likely due to lowered scepticism and heightened investor interest.

In other developments, Coinbase has had to cancel its lend program following an SEC lawsuit threat. While the news disappointed some of Coinbase’s clients, others still hold complaints of investment loss and poor customer service.

Related: Coinbase comes under SEC fire as Gensler claims the exchange has securities listed as tokens