Coinbase, the U.s.' largest cryptocurrency commutation, announced that it facilitated one of the largest institutional Bitcoin (BTC) purchases in 2020.

Co-ordinate to an official annunciation, Coinbase was selected as the chief execution partner for MicroStrategy's $425 million buy of Bitcoin in September 2020.

Brett Tejpaul, head of institutional sales at Coinbase, provided more than details about the purchase as well as the company's aim to facilitate institutional purchases in a Dec. 1 web log mail service.

"Using our advanced execution capabilities, leading crypto prime number brokerage platform, and OTC desk-bound, nosotros were able to buy a significant amount of Bitcoin on behalf of MicroStrategy and did then without moving the market," Tejpaul said. Co-ordinate to the post, MicroStrategy chose Coinbase considering the platform provides a number of market tools like smart order routing and algorithmic trading tools.

According to a case study on the MicroStrategy trades, Coinbase conducted a series of pre-trade calls with MicroStrategy prior to the $425 one thousand thousand buy in club to better understand trade execution goals and develop a trading program.

Post-obit the successful examination, Coinbase began to execute the larger merchandise, involving the "Time Weighted Boilerplate Price" algorithm to execute the merchandise over a period of five days.

Over the course of the merchandise, MicroStrategy had a 9 am phone call each day with the Coinbase trading team to start trading and study overnight fills. Afterward completing an initial $250 1000000 investment over a period of five days, MicroStrategy went on to invest an boosted $175 meg in Bitcoin post-obit the success of the beginning merchandise, for a total investment of $425 meg.

In the post, Coinbase expressed its willingness to help more institutions looking to buy crypto:

"We hope that this is an inflection betoken for the cryptoeconomy and look forward to helping more than corporate companies and institutions looking to diversify their majuscule allocation strategies with crypto. Working on an agency basis, clients can be certain our interests are aligned equally we seek to find the best prices available in the market."