itBit

Note: The itBit exchange has been fully integrated into Paxos infrastructure. New users should access Paxos services directly at paxos.com.

itBit was a financial services company that operated a digital asset trading platform and provided blockchain-based financial services. Launched in 2012, itBit was one of the oldest institutional-grade Bitcoin exchanges, known for its focus on regulatory compliance and security. The platform offered services including spot trading for Bitcoin, custody services, and over-the-counter (OTC) trading. Its services are now provided through Paxos.

Overview

itBit was founded by Charles Cascarilla and Chad Cascarilla. The company is headquartered in New York City and is a subsidiary of Paxos Trust Company. One of its notable achievements is becoming the first regulated Bitcoin exchange to receive a charter from the New York State Department of Financial Services (NYDFS) in 2015, allowing it to operate as a bank-like entity and providing customers with enhanced security and regulatory oversight.

Services Offered

Spot Trading

itBit allows users to trade Bitcoin against major fiat currencies such as the US Dollar (USD), Euro (EUR), and Singapore Dollar (SGD). The platform supports various order types, including market orders, limit orders, and stop orders, offering flexibility to traders.

Custody Services

The platform provides secure, regulated custody services for digital assets, catering to institutional investors, family offices, and high-net-worth individuals. The custody solution includes features like multi-signature wallets, cold storage, and insurance coverage.

Over-The-Counter (OTC) Trading

itBit’s OTC desk offers a personalized trading experience for large block trades, typically greater than $100,000. This service is tailored for institutions and high-net-worth individuals seeking deep liquidity and competitive pricing without impacting the market.

Regulatory Compliance

itBit operates under the regulatory framework of the NYDFS, ensuring that it adheres to stringent Know Your Customer (KYC) and Anti-Money Laundering (AML) standards. The platform also undergoes regular audits and financial reporting, providing an additional layer of transparency and trust for its users.

Security Measures

Security is a top priority for itBit. The platform employs state-of-the-art security features including two-factor authentication (2FA), encrypted communications, and multi-signature wallets. Additionally, the majority of assets are stored in offline cold storage, minimizing the risk of hacking and theft.

API Access

itBit offers a robust API (Application Programming Interface) that allows developers to integrate with the trading platform and access various functionalities. The API supports REST and WebSocket protocols, catering to different use cases such as automated trading strategies, real-time data feeds, and account management.

Market Presence and Partnerships

itBit has established itself as a reputable player in the digital asset space, forming strategic partnerships with various financial institutions and technology providers. The platform has also been featured in numerous financial publications and industry reports, further solidifying its credibility.

Conclusion

itBit stands out in the cryptocurrency landscape due to its emphasis on regulatory compliance, security, and institutional-grade services. With a range of offerings including spot trading, custody, and OTC trading, it caters to both retail and institutional clients. As the cryptocurrency market continues to evolve, itBit remains a reliable and trusted platform for digital asset trading and management.

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