Bittrex is one of the very few digital currency exchanges aside from UPbit and Bithumb (both located in South Korea), that allows their users to buy tokens using fiat currency. The CEO of Bittrex, Bill Shihara, has shared that Bittrex has a meticulous process when it comes to reviewing digital assets and approving them to their platform. Bittrex is mainly looking for innovation when they select from various cryptocurrencies on the market and they also look at each companies’ founders and principles. Bittrex has a team of lawyers and third party independent law firms so they can make sure to adhere to regulations and avoid conflicts.
Coinbase, another major cryptocurrency exchange, is taking a different side in regards to supporting new digital currencies. Coinbase is known as the biggest digital asset platform in the global market and it has a community of 20 million users and has $20 billion in customer investments. Unlike Bittrex, Coinbase is not partnering up with blockchain projects. Instead, they have obtained a decentralized digital currency exchange called Paradex. This acquisition will support token to token exchanges. On Bittrex, investors can make trades directly with fiat currency. On Coinbase, investors have to buy the major digital assets such as BTC or ETH, then trade BTC or ETH with cryptocurrencies on Paradex.
Bittrex’s method can be more tedious and complicated compared to Coinbase’s decentralized cryptocurrency exchange implementation. Bittrex has to work closely with financial institutions, law firms, and regulators. If local governments and authorities have a problem with Bittrex’s practices, the digital exchange can be under heavy investigation. Bittrex CEO stated that they are working with banks in the U.S. Once Bittrex is successfully tested, they will penetrate many markets.