First real bitcoin exchange coming this year

N

newguy05

This will be significant.

The extensive plans represent a drastic shift in how bitcoins have been traditionally bought and sold through exchanges, with the company adopting a “hub-and-spoke” model that will find the exchange only interacting with formal members.

Non-members will not be allowed to facilitate transactions on the exchange, however. Silbert said he doesn’t see this as exclusionary, as such restrictions would inspire the creation of new businesses for the exchange.

Initial members are expected to include Wall Street banks, as well as bitcoin startups such as Circle and Coinbase. Silbert explained:

“If you want to buy and sell bitcoin you have to go through one of the members, and the members are all going to be regulated businesses. They’ll be banks, they’ll be MSBs, they’ll be bitcoin companies, they’ll be broker dealers. The idea is the other exchanges of the world could actually become members of the exchange.”

The result, Silbert said, would be an environment similar to the New York Stock Exchange (NYSE), where individual customers go through brokers such as Fidelity or TD Ameritrade in order to complete transactions. The idea for the market itself is based on the IntercontinentalExchange (ICE) Group.

Founded in 1997, ICE is a 24-hour, Internet-based high capacity trading platforms focused on the global commodity and financial products marketplaces.

By providing a similar environment to existing structures, Silbert hopes money services business (MSBs) and banks will be more open to dealing with bitcoin and bitcoin-related investment services.

Full article: http://www.coindesk.com/secondmarket-barry-silbert-launch-regulated-us-exchange-this-summer/
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wow The best business opportunnity coming : opening bitcoin producing business using poor but technologically savy russians, indians and other third world country talent.
 
That news is exactly what BTC holders needed.

My main problem with BTC was the unregulated markets and hackers stealing them from your computer or wallet or wherever you tech geeks hold them.

A regulated exchange with legitimate hacker proof storage would get skeptics like myself to open an account. This is great news for BTC believers.
 
Clubber Lang said:
That news is exactly what BTC holders needed.

My main problem with BTC was the unregulated markets and hackers stealing them from your computer or wallet or wherever you tech geeks hold them.

A regulated exchange with legitimate hacker proof storage would get skeptics like myself to open an account. This is great news for BTC believers.
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Why do you want to trust a third party? The point of bitcoin is that you should not trust a centralised, hierarchical system. Take delivery and put your bitcoin in cold storage on a paper wallet. Bitcoin is decentralised and decentralised exchanges will be operational this year. See NXT, Mastercoin, emunie, etherium, proto/bitshares, counterparty.

The centralised, hiierarchical system is corrupt. See gold fixing, libor fixing, naked short selling of gold futures on Comex.
 
Good and bad. While reputable, SecondMarket is bringing along the same problems:

Fixing the price twice a day.
Derivatives used to price Bitcoin.
Mixed feelings on members-only (regulatory simplificiation I guess).

But... they will bring wall street connections to Bitcoin.
 
Pekelo said:
Because a decentralized exchange hasn't been invented?
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Oh, Yes; they are already invented and in development (one of them based on BitMessage). But problem is with every new exchange: you need to get Volume, lots of Volume....and that's the hard part.
 
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