Binance and Coinbase May Face Some Serious Competition as Blockchain.com Enters Crypto Trading Niche

Bitcoin.com, a popular bitcoin wallet and blockchain explorer service has delved into the trading side of cryptocurrencies with the launch of its first exchange platform, The PIT. The new exchange platform which is expected to rival industry favorites like Binance and Coinbase is set to fundamentally disrupt the crypto exchange. The Blockchain team in an official post said:

We’re launching The PIT, an institutional-grade crypto trading platform that will redefine the speed, reliability, and liquidity retail crypto traders should not only expect but demand, from their crypto exchange… And what we delivered is not only the fastest in crypto by an order of magnitude – we measure in microseconds, not milliseconds – but a matching engine that could go head-to-head against any machine engine in the entire world.

Their reason for building what is now being touted as “the world’s fastest matching engine in crypto” is to tackle the challenge of failed trades and broken markets which was quite prevalent during the last cryptocurrency bull-run in late 2017.

One interesting highlight of The PIT is its team. The exchange was built from the scratch by a team of experts from the New York Stock Exchange, Google, TD Ameritrade, Goldman Sachs, Revolut, Interactive Brokers, and UBS. If you ask me, these are some heavy-weights and we can speculate that something huge is coming.

For a start, The PIT will be available in more than 200 countries and will support 26 trading pairs. Customers also have the option to link their bank accounts with Blockchain.com and trade against USD, EUR, and GBP.

Are These Bogus Claims?

Blockchain.com is one of my favorite wallets when it comes to storing Bitcoin. I have watched their service grow from supporting only Bitcoin in 2017 to now listing Ethereum, Bitcoin Cash and Stellar. Although their growth has not been rapid, it has been very steady. On that note, I’d say The PIT is arguably the result of consistent and rigorous work.

The team, particularly the CEO of Blockchain.com, Peter Smith and the head of trading products, Nicole Sherrod have both hyped the speed of the exchange. Trying to sign-up on the exchange and one of the first messages you are greeted with is how fast the exchange is. Peter elaborates that the exchange can process buy and sell orders in 40 to 50 microseconds – enough to go head-to-head with any other crypto exchange in the world.

Whilst these claims may be true, the true test and performance of The PIT will be revealed if there is another bull-run with an influx of new retail investors and traders.