[2014-04-16] SecondMarket Launches First Fully Regulated American Bitcoin Exch.

[LiteCoinGuy]

SecondMarket Launches First Fully Regulated American Bitcoin Exchange

http://www.cryptocoinsnews.com/news/secondmarket-launches-first-fully-regulated-american-bitcoin-exchange/2014/04/16

https://www.secondmarket.com/bitcoin-trading#ready


edit: UPDATE (17th April 9:30 GMT): SecondMarket has not yet launched its institutional bitcoin exchange – it’s expected later this year. However, the company has added a new page to their website for “market making” as clarified by founder and CEO Barry Silbert over Twitter.

[Bit_Happy]

SecondMarket Launches First Fully Regulated American Bitcoin Exchange

http://www.cryptocoinsnews.com/news/secondmarket-launches-first-fully-regulated-american-bitcoin-exchange/2014/04/16

https://www.secondmarket.com/bitcoin-trading#ready

"After passing the compliance steps, you will be contacted by a SecondMarket representative.  You would then proceed to negotiate a fair market-valued price for the transaction to be completed.

After a successful negotiation, sellers would send their Bitcoins to a SecondMarket Bitcoin address.  Following six confirmations by the Bitcoin network, SecondMarket will wire the promised USD amount to the seller’s bank account.  Buyers, on the other hand, would send funds, via wire, to SecondMarket along with a Bitcoin address.  SecondMarket would then send the Bitcoins to the provided address...."


You would then proceed to negotiate a fair market-valued price...
Certainly not what I have in mind when I consider trading.
Let's hope a real exchange can open in the USA someday?

[CoinMode]

"After passing the compliance steps, you will be contacted by a SecondMarket representative.  You would then proceed to negotiate a fair market-valued price for the transaction to be completed.


You would then proceed to negotiate a fair market-valued price...
Certainly not what I have in mind when I consider trading.
Let's hope a real exchange can open in the USA someday?

So, this is how localbitcoins/ebay works? Do you just have one buyer and one seller, no order books? If so, it isn't a real exchange. 

[Bit_Happy]

"After passing the compliance steps, you will be contacted by a SecondMarket representative.  You would then proceed to negotiate a fair market-valued price for the transaction to be completed.


You would then proceed to negotiate a fair market-valued price...
Certainly not what I have in mind when I consider trading.
Let's hope a real exchange can open in the USA someday?

So, this is how localbitcoins/ebay works? Do you just have one buyer and one seller, no order books? If so, it isn't a real exchange. 

Based on this:
"...you will be contacted by a SecondMarket representative.  You would then proceed to negotiate a fair market-valued price for the transaction to be completed."
It does not look like a real exchange at all.

[uhoh]

"After passing the compliance steps, you will be contacted by a SecondMarket representative.  You would then proceed to negotiate a fair market-valued price for the transaction to be completed.


You would then proceed to negotiate a fair market-valued price...
Certainly not what I have in mind when I consider trading.
Let's hope a real exchange can open in the USA someday?

So, this is how localbitcoins/ebay works? Do you just have one buyer and one seller, no order books? If so, it isn't a real exchange.  

Based on this:
"...you will be contacted by a SecondMarket representative.  You would then proceed to negotiate a fair market-valued price for the transaction to be completed."
It does not look like a real exchange at all.

I have no idea how this has got picked up so inaccurately by the news outlets. This IS NOT the exchange they are planning to launch late 2014... It's just market making for the BIT Trust. The page has been up for weeks months!!!

https://twitter.com/barrysilbert/status/456561654856048640

[iraszl]

Incorrect! Exchange is coming late summer.

Read what's happening: http://bitcoinowl.com/clarification-secondmarkets-exchange

[Bit_Happy]

Incorrect! Exchange is coming late summer.

Read what's happening: http://bitcoinowl.com/clarification-secondmarkets-exchange

Thanks. I understand what that link is saying but it contains a faulty example:
"The SecondMarket exchange will act as a hub and facilitator of transactions. The members will trade with each other directly within SecondMarket's platform. The exchange will have its own capital in BTC too to provide high liquidity. For example J.P.Morgan may come in a say they want to buy 10,000 bitcoins for themselves or their clients. They would announce this on SecondMarket and Bitstamp would offer a price. If they agree J.P.Morgan will pay Bitstamp directly and Bitstamp would send the coins to J.P.Morgan's address directly as well."
^^^
"Bitstamp" might have 10,000 legit coins to sell, but the example is (at least a bit) confusing and sounds like Bitstamp can trade with customer funds.

[CoinMode]

Incorrect! Exchange is coming late summer.

Read what's happening: http://bitcoinowl.com/clarification-secondmarkets-exchange

Thanks. I understand what that link is saying but it contains a faulty example:
"The SecondMarket exchange will act as a hub and facilitator of transactions. The members will trade with each other directly within SecondMarket's platform. The exchange will have its own capital in BTC too to provide high liquidity. For example J.P.Morgan may come in a say they want to buy 10,000 bitcoins for themselves or their clients. They would announce this on SecondMarket and Bitstamp would offer a price. If they agree J.P.Morgan will pay Bitstamp directly and Bitstamp would send the coins to J.P.Morgan's address directly as well."
^^^
"Bitstamp" might have 10,000 legit coins to sell, but the example is (at least a bit) confusing and sounds like Bitstamp can trade with customer funds.

I can see a few big whales getting in for dirt cheap. This won't raise the adoption, hashrate, decentralization, or price of the network much, but it will raise the legitimacy of bitcoin a lot.

[bryant.coleman]

This is really great news. An American exchange will make sure that at least no user will get Goxxed. I hope they will be publicly listed, so that their accounts and audits will he open to everyone.

[BTCat]

An American exchange will make sure that at least no user will get Goxxed.

What? No criminals in the US?

[patricktim]

congrats to SecondMarket Launch ,
cheers best new today.

[bryant.coleman]

Has any of our American members checked out this exchange yet? I am yet to view any feedback on the quality of the service. 

[Bit_Happy]

An American exchange will make sure that at least no user will get Goxxed.

What? No criminals in the US?

We put so many people in jail that we totally ran out of criminals, with the notable exception of politicians, drug company executives, bankers, gang members, and several older people who are actively trying to get back into jail:
Man Said to Be Homesick for Prison Gets 3½ Years.

[smoothie]

lol "negotiate" a price.

Um if there is no order book then that isn't a transparent exchange. Good luck with that bullshit.

[cryptoanarchist]

...which will eventually lose out to an unregulated exchange. Or turn out to be a scam.

You heard it from me first.

[keithers]

This is big news because it represents the entrance for Wall Street into BTC.   This could very possibly lead to astronomical BTC prices.  Just think what it would do to prices for a couple of the big banks to invest several hundred million dollars into the BTC ecosystem.  Second Market is a recognized name on Wall Street, whereas they most likely wouldn't touch exchanges like BTC-E with a 10 foot pole

[ecrick3]

my friends and I just checked out the exchange.

[keithers]

I know that they were only purchasing in lumps of 25 BTC at first, to load up on their holdings.   I believe they stated that they now have 100k BTC or something like that in their Investment trust.  25BTC is a lot, but it isn't a fortune...I am curious as to the number of people that have sold BTC to them.

I don't think they would ever make that public information, but I am still curious...