As the Vault of Satoshi closes its doors to the public, CoinTrader gears up to corner the Canadian market.
Canada has long been an important player in the Bitcoin scene. It held the world’s first physical Bitcoin store, the first Embassy, the first Bitcoin ATM and many businesses that were the first of their kind to accept cryptocurrency. It continues to be a world leader in Bitcoin adoption, and as such, a fierce battleground.
Despite its vastly smaller population Canada just barely trails the United States in terms of Bitcoin ATMs, with more machines than any other country in the world. Within the Vancouver region alone -arguably the Bitcoin capital of Canada- there are several ATMs in operation, including a Genesis1 atop Whistler mountain.
The exchange scene has been a battlefield as well, with digital currency exchange Vault of Satoshi (VoS) a long term contender . It was a cult favorite due to its pioneering use of altcoins and relatively low fees, but never caught up to its chief rival in trading volume Virtex, which was once a monolith of power. Their experiment with DivCoin, which would have rewarded holders with dividends, later turned out to be a flop.
Now VoS has sadly come to a close, with deposits ending February 5th. CEO Mike Curry has assured everyone that this had nothing to do with their solvency. Currys’ new venture, TurboFix, seems more promising and takes up a lot of time. VoS will phase out operations gradually, allowing users time to finalize trades and withdrawals.
The crowded Canadian exchange scene will move quickly to fill the vacuum left behind, and old favorite CoinTrader is well positioned to fill the void. It was founded by the team behind the success of Bitcoiniacs, who are responsible for two important firsts in Vancouver, the Bitcoiniacs Bitcoin Store, and the Robocoin ATM at Waves Coffee House. Bitcoiniacs claim, "We were the world’s first physical Bitcoin exchange." according tho the website.
Bitcoiniacs have cemented their place in history, and remain a local icon. They decided, from the start, to go international with CoinTrader, but based their order book on USD.
“Banking bitcoin businesses–especially exchanges–in Canada is quite difficult, so we made the decision early on to go with a USD order book first while we worked to secure reliable Canadian banking partners,”
— – CoinTrader Co-Founder, Jackson.
They’ve since set up operations around the world in places like England, Romania, Singapore and Japan, and spent much of their time overseas.
They don’t plan to lose market share back home, however. Previously, Bitcoiniacs would service Canadians wanting to trade via CoinTrader, or just accept deposits in Bitcoin. Now, CAD can be traded directly on their online exchange, allowing a wider variety of profitable trade opportunities and easier access for Canadians.
Those looking to capitalize on arbitrage or small price fluctuations will find it an attractive option, with trading fees as low as .35-.5%. If you don’t have any bitcoins yet or are simply looking to buy, you can deposit up to $5000 a day for only $2.
“We’re thrilled to have the ability to offer the cheapest funding options and lowest trade fees in Canada.”
— – Jackson.
CoinTrader has partnered with the Canadian payment processor Vogogo, making trading even easier. Vogogo allows them to be fully compliant with regulation and the company is designed to handle security needs, in both the United States and Canada. Vogogo also provides a link between a users’ bank account and CoinTrader account, for the seamless transfer of funds.
All of this puts CoinTrader in a good position for growth. Given their global connections, expansion to new currency markets is likely; they’re already planning the euro and the British pound, and others such as the Japanese yen and the Singapore dollar will come later down the road.
For now, we can only wait and see how the battle of the Canadian exchanges plays out. With competitors like QuadrigaCX and Virtex, and numerous underdogs like Morrex and soon-to-launch Taurus, the Canadian audience will not be easily won. CoinTrader, however, claims they have what it takes to rise.