ItBit Cryptocurrency Prices and Prediction
If you are an investor or keep current on financial market trends, you probably know a bit about cryptocurrency and OTC trading. Digital currency trading happens on a number of exchanges, each of which have respective benefits and drawbacks. One such exchange is itBit, which within the very new world of digital currency has become fairly well-established as a secure, fluid exchange.
This article will over the current itbit pricing, as well as make some speculation as to what the currency could potentially be worth heading into late 2018 and early 2019. Read on to learn more.
What Exactly is ItBit?
ItBit is a Bitcoin exchange offering a number of cryptocurrency trading services, with their key feature being an over-the-counter (OTC) service. The company claims to offer “Crypto Asset and Custody Services”, with an eye toward meeting the needs of active traders.
ItBit was not created as much for those who preferred to buy into an investible asset and sit on it, but rather for those who actively love to wheel and deal. The company is based in New York, with an international office in Singapore. The company started in 2013.
Upon launch, itbit’s chief competitor was an exchange service called Coinbase, which was the preeminent digital currency exchange in the United States. ItBit managed to achieve bank regulation in New York thanks to a $25 million in fundraising. This happened just as Coinbase was beginning to pull away from other U.S.-based digital currency exchanges.
Thanks to bank regulation, itbit become able to offer their services to all 50 states in America, while Coinbase could only offer service in 33 States. This became a major factor in making itbit a preferred exchange service within the U.S.
Why Use ItBit?
As itbit explains on their company website, “itbit is focused on meeting the sophisticated needs of institutions, active traders and other trading professionals.” The company allows for the trade of popular digital assets and services such Bitcoin (XBT), Bitcoin Cash (BCH), Stellar Lumens (XLM), Litecoin (LTC), and Ethereum (ETH), accounting for most of the key digital currencies traded on today’s market.
ItBit is the only digital financial service to allow customers to trade on both an OTC Trading Desk – meaning large block sums of $100,000 USD or more – while also allowing for more common cryptocurrency exchange. This duality gives itbit greater appeal to big businesses and veteran investors who may only dabble in some of the smaller or newer cryptocurrency markets.
ItBit plays more like a traditional asset trading service than most other digital exchanges, and this undoubtedly makes the service preferable to certain customers.
As noted above, itbit is regulated, which providers some assurance to experienced investors who may otherwise be weary of the freewheeling nature of most digital assets. ItBit’s decision to seek and gain regulation is a strong reason to consider the company for digital asset management.
Like most digital asset services, itbit offers the additional security of encryption.
Customers in the U.S should be aware that their money never leaves American soil, and that their investments are held exclusively in regulated American banks. This again provides some assurance for those who tend to have skepticism toward the digital market.
As itbit notes on their website, “US dollars are FDIC-insured and all fiat and crypto customer assets are fully protected.” Furthermore, all assets are backed by mandatory capital reserves.
The company claims to offer round-the-clock customer support by phone and email, which will ease the concerns of some potential investors or users. As you can see, itbit offers a number of exclusive benefits that aren’t available with other digital exchanges.
Most customers, whether they are traditional investors or those coming in with the emergence of cryptocurrency, will appreciate the added security of bank regulation. In a number of ways, itbit offers the safest platform for those seeking digital exchange services.
There are a number of websites dedicated to weighing the pros and cons of digital exchange services, and one of those sites is Best Bitcoin Exchange. The site does a rundown of the 40 Best Bitcoin Exchanges, which is constantly influx.
Itbit is not noted on their Top 40 list, but this could be for a number of different reasons including itbit’s role as an OTC trading service. Here is a rundown of a few other prominent Bitcoin and cryptocurrency trading services, as of this writing in September 2018
Coinbull is the top-ranked digital asset exchange service according to Best Bitcoin Exchange. The account requires a minimum deposit of $200 USD, and it not regulated or backed by a major financial institution.
The factors cited by BBE are mainly ease of use, as well as the different membership tiers offered by Coinbull. The company also offers a training package for new investors, making it an ideal exchange for those who are just entering the cryptocurrency market.
Thanks to targeted advertising, Binance has gained some name recognition, and ranks in the top five exchanges according to BBE. Based out of Tokyo, Binance is one of the world’s largest digital exchanges. The company kickstarted itself via a token sale launch in which they raised startup capital of $15 million. Binance has continued to steadily grow into an industry goliath based on trading volume and global users.
Binance also provides deep discounts on trading fees to incentivize users to choose their service. The company has a discount plan which extends years, indicating that they plan to be in the cryptocurrency for the long haul.
Mentioned above as the early industry leader, Coinbase is based in San Francisco and has been in operation since 2012, making it one of the more established digital currency exchanges in operation. More than 20 million users worldwide maintain Coinbase e-wallets, and the company offers two different types of wallets – one of which is incredibly user-friendly and stripped down – to accommodate both new and experienced digital asset traders.
All Coinbase deposits are insured, somewhat offsetting trepidation about lack of regulation.
While Coinbase may be very easy to use and recognizable, the company is known for their pesky fee structure, which might make investors take a closer look at less costly alternatives within the digital exchange market.
There are now dozens of digital exchanges for customers to consider, each with their own advantages and disadvantages. The advantages of itbit are outlined above, but it behooves any investors to shop around a bit before committing to a particular service in order to find the one that best suits their unique needs.
ItBit Current Price
As of this writing in September 2018, itbit has a current value of about $10 million at a Bitcoin equivalence of $1,366. As with every other asset and exchange within the cryptocurrency market – excluding juggernauts such as Bitcoin and Ethereum – itBit has been on a consistent decline for most of 2018.
ItBit has tried a number of attempts to drum up more interest in cryptocurrency exchange, including the introduction of a new, more cost-friendly fee structure in summer 2018.
More recently, the company saw a wave of departures, leading some speculators to question the company’s long-term viability, with some speculating that itbit might be a sinking ship.
ItBit Outlook for 2018 and Beyond
The issue that itbit ran into – which would happen to any company that operates primarily as an exchange – is the overall diminishing interest in cryptocurrency exchange. What appears to be happening is that investors and traders are continuing to buy into on the most well-proven digital currencies – those being Bitcoin, Ethereum, and perhaps a handful of others – but are extremely gun-shy about buying into and thus trading newer or less-developed digital currencies.
The overall slowdown in trading is hurting itbit’s bottom line, as an exchange service such as itbit relies upon the feverish trading of happy investors to remain solvent. The company has made a number of recent attempts to reinvent itself and drum up additional interest in digital currency exchange.
In addition to overhauling their fee structure, itbit has also tried to transform itself from a bitcoin-only exchange to an enterprise blockchain service provider. While this changeover might have spooked some – leading to a number of executives jumping off ship over the summer – itbit could be looking to bring in personnel with skillsets more closely assigned to blockchain service than digital exchange.
What’s Next for itBit
Industry source Coindesk reported that itBit could possibly get out of the exchange service game altogether, or sell off the division to a competitor. Bitcoin exchange giant Kraken is noted as being interested in possibly acquiring the itbit exchange platform. Coindesk reported that this could come to pass at any time, though as of this writing in early September 2018 itbit continues to operate its digital exchange services.
The last thing that Coindesk report noted was that itbit could possibly consider rebranding itself Paxos, a ploy to potentially reinvent itself completely if the digital exchange is sold or closed.
While all of this information likely limits the enthusiasm of current itbit customers, speculators and market analysts will be watching with intense curiosity to see what happens with itbit in the near future.