Emails were sent to institutional traders, including traders that belong to pension funds, mutual fund families, and insurance companies. The exchange is asking them to begin the process of opening accounts for trading on Gemini.
“Just wanted to clarify that the emails sent out today were sent to institutional customers (who signed up to our early access list) in order to begin the process of setting up their account — there’s more KYC work to do to get institutions onboarded than individual customers, hence why we have started to get the process started with these folks earlier,” wrote Cameron Winklevoss.
“We’ll be sending out invites to individuals once we’re ready to launch, which we expect to be quite soon.”
– Cameron Winklevoss
The news comes just weeks after the Winklevoss twins announced that they had filed to become a trust, operating within the state of New York. If granted the trust status would allow them to operate the exchange without a BitLicense. According to a blog post by Houman B. Shadab, a professor at New York Law School and the Editor-in-Chief of the Journal of Taxation and Regulation of Financial Institutions, trusts are legally distinct financial institution from banks, but can hold and lend money.
Earlier this year, in May, itBit become the first bitcoin startup to be granted a trust. The startup operates a Wall Street style bitcoin exchange and recently revealed its project Bankchain, a distributed ledger based on blockchain technology built to help banks settle payments between other institutions.
“itBit, in particular, is authorized as a limited purpose trust company,” continued Shadab in his post. “This means it is not allowed to make loans or take deposits. To obtain the charter, itBit had to meet the very strict requirements of ordinary New
Originally appeared at: http://bravenewcoin.com/news/institutional-bitcoin-exchange-gemini-prepares-for-launch/