Bitcoin For Night Owls

Now You Can Trade Bitcoin Any Time
The Winklevoss twins want to trade bitcoin, and they want to do it now. Growing impatient waiting for their ETF fund to be listed and to boost bitcoin trading, the cofounders of the Gemini Trust Company, a digital currency exchange based in the U. S., are introducing a daily bitcoin auction so that the currency can be traded any time. The entrepreneurs believe that it will allow larger trades at lower cost, and they are also offering a rebate on trading fees of 0.15 percent.
The auctions will be held every day at 4 p.m. EST and on holidays and weekends. Initially, trading will be limited to bitcoin into U. S. dollars, but this is expected to expand to more currencies later. The twins hope – as is the case with other exchanges, such as the NYSE and Nasdaq – that the digital currency will be easier to use and more appealing.
According to Tyler Winklevoss: ‘We believe this is the first-ever end-of-day bitcoin exchange auction … Auctions create greater price discovery and liquidity, resulting in a very meaningful final auction price. If you were building a securities exchange today, an auction would be a core feature.’
Currently, bitcoin can be traded 24 hours a day, but as there are few sellers at certain times of the day, Gemini is taking advantage of the non-trading hours of traditional financial markets and designating those as the time to trade bitcoin. The auction should also help to establish the daily bitcoin trading price.

This post was published at Pymnts on September 23, 2016.