Gemini Exchange Unveils Upcoming Support for Litecoin and Bitcoin Cash

  • Gemini tweets that they will be trading Litecoin and Bitcoin Cash soon.
  • With these additions, Gemini positions itself as one of America’s top crypto to fiat on-ramps.

Earlier this week (September 26, 2018), Gemini sent a tweet announcing they when the US exchange will be trading Litecoin (LTC) and Bitcoin Cash (BCH).

Although Coinbase already allows users to buy and sell LTC and BCH for USD, this new market will add further liquidity to these altcoins. Currently Bitfinex and Coinbase account for around 80% of BCH USD trading volume so a Gemini will be a welcome regulated competitor.

CryptoCompare Bitcoin Cash Exchange VolumesSource: CryptoCompare

This announcement comes hot off the tails of Gemini’s ZCash listing, which made Gemini the first licensed ZCash exchange in the world.

This tweet shows Gemini’s commitment to transparency regarding new coin listings. Since late 2017, there has been controversy surrounding cryptocurrency listings on major exchanges.

When Coinbase started trading Bitcoin Cash, it was widely alleged that there was insider trading. Coinbase did not announce when BCH trading would begin, so the listing of BCH took traders completely by surprise, causing prices to spike briefly before trading was halted.

Just three days after BCH was listed on Coinbase, the price plummeted from a high of $4,290 all the way down to $1,550. After this event, exchanges have been much more transparent about their listing process.

Gemini Exchange

Created in 2015, Gemini is the crypto exchange founded and owned by the Winklevoss twins. Famous for their role in the creation of Facebook, the Winklevoss twins have been an instrumental part of Bitcoin’s growth.

Gemini currently lists BTC, ETH, & ZEC, and allows USD trading against all of these coins. Coinbase’s daily trading volume is more than ten times Gemini’s. The addition of Litecoin and Bitcoin Cash could bring more users to Gemini’s website.

Both Coinbase and Gemini hold the controversial New York BitLicense. Launched in 2014, this license is issued by the New York State Department of Financial Services, and allows companies to buy, sell, and trade cryptocurrencies for their customers.

When the BitLicense legislation was announced, many crypto companies discontinued supporting New York customers, in order to avoid New York’s extensive regulations. At the time of this writing, there are only nine companies holding BitLicenses.

Crypto Exchange Kraken Working to Add Lightning Network Support Later This Year

Popular cryptocurrency exchange Kraken is working on adding support for Bitcoin’s Lightning Network later this year, according to the firm’s Bitcoin strategist Pierre Rochard.

Responding to a user on Twitter asking the firm for a clear timeline on its plans to add support for the layer-two scaling solution, Rochard confidently responded it’s working on adding it later this year.

Rochard later on retweet a user’s question on what the milestone would be for the Lightning network to be considered “ready,” which implies Kraken – and potentially other cryptoassets trading platforms – have been holding off adding support until the network becomes more stable.

Bitcoin Lightning Network was launched in early 2018 and quickly started being adopted right after, By May 2019, a total of 1,039 BTC were locked on the scaling solution, but the number of bitcoins users were moving off-chain started dropping soon after.

LN's growth over timeSource: DeFi Pulse

Several cryptocurrency exchanges have, however, already rolled out support for the Lightning Network. Bitcoin-to-gold exchange Vaultoro added support for it in May 2018, while South American crypto exchange Buda added them in October 2018.

While several other cryptoassets exchanges have since added support for the Lightning Network as well, the oldest cryptocurrency trading platform that added support was Bitfinex. Kraken would be one of the oldest exchanges supporting it as well.

The Lightning Network is supported by various Bitcoin community members as the cryptocurrency’s best scaling solution, as it takes payments off-chain. Another prominent scaling solution, now widely supported by Bitcoin Cash proponents, is to increase the block sizes on the network.

Featured image by Josep Castells on Unsplash