Blocktrade.com is reportedly the first fully regulated cryptocurrency exchange to go live for beta testing, according to a company announcement. The company is still in the process of obtaining a Multilateral Trading Facility, or MTF license, under the MiFID II framework.
An MTF is a trading system where multiple parties may trade in financial instruments. In the case of Blocktrade, these instruments would be crypto-based. In this capacity, the company states that its focus is on security and performance, and it is open for beta testing on their website.
During this phase, users may test the platform, in order to provide valuable feedback to resolve any bugs, usability, security and other performance issues. This beta phase began on July 25, and will end on August 25, 2018. Users may now register for the platform by submitting login information and other data to meet any legal requirements. During this beta phase however, no KYC process will be required. Users will not need to submit proof of identity to begin testing the cryptocurrency trading experience. Once beta testing is complete, existing users will receive invitations to the KYC process before the live trading platform is released.
The beta trading platform will enable users to do paper trading with virtual, beta accounts “funded” with 25,000 EUR, 2.5 BTC, 25 ETH, 2.5 BCH, 2500 XRP and 25 LTC. Order types include limit orders, market orders with protection, and cancel orders. The system will begin with five digital assets available for trade: BTC, ETH, LTC, BCH and XRP.
In addition to the beta trading platform, the platform’s API is available for testing by software developers. People may interact with the platform with third party apps including custom user interfaces and trading bots. The system’s REST API capabilities include public uses that require no automation, such as querying the order book, ticker and trading history. Private capabilities, which do require authentication include submitting limit and market orders, cancel orders, and querying a specific user’s order history, order status and account balances.
Blocktrade states that it will reward users for their feedback during the beta-testing process. There is a “Need Help” widget where users may submit questions and feedback. Each time a user interacts with the help platform, they’ll be entered into a drawing to win an iWatch.
Upon registration during the beta period, users will have the opportunity to become lifetime members of the website. By paying a one-time fee, they’ll receive access to special trading fees and customer service options.
As this exchange is reportedly the first fully-regulated platform for cryptocurrency trading, it may attract institutional investors who are hesitant to put money into unregulated exchanges due to the potential risks.
The system is powered by BTT tokens, used to pay membership fees, including lifetime memberships as well as monthly and annual subscription costs. The platform is regulated under the MiFID II framework, and approved by the Financial Markets Authority, part of ESMA (the European Securities and Markets Authority). Crypto Traded Indices, security tokens and tokenized assets are expected to be added in late 2018.