Exclusive: Crypto Exchange Bitstamp Announces US Expansion After 281% Surge In Q1

The world’s longest-running crypto exchange Bitstamp announced a deeper expansion in the U.S. market after reporting a 570% increase in new customer growth this year.

What Happened: The U.K.-based exchange was established in 2011, and with around $1 billion in daily trading volume remains one of the largest crypto exchanges globally.

The decision to prioritize the U.S market came after the exchange recorded a 281% increase in assets under management during the first quarter of 2021, along with a number of key growth metrics, Bitstamp told Benzinga in an exclusive press release.

“Bitstamp is prioritizing U.S investors, in a market primed for disruption and growth,” said a spokesperson in reference to the exchange’s uptick in client activity which increased on a monthly level by 348%.

As part of its expansion plan, the exchange plans to grow its customer support team by 50 percent this year, in addition to launching a marketing campaign to educate more retail investors about crypto.

Bitstamp said it would also scale up operations on the institutional side through its partnership with Silvergate Capital Corporation SI. The partnership gave rise to SEN Leverage, a product that allows institutional customers to trade any asset on platform with leverage collateralized by Bitcoin or U.S. dollars, which had originated over $50 million in loans as of April 2021.

The exchange believes over $250 million such loans can be originated by the end of the year.

See also: Ripple (XRP) Will Go Public After Lawsuit, Says Company's Largest Shareholder

Why It Matters: After the success of Coinbase Global Inc COIN, crypto exchanges worldwide have targeted the U.S. as a crucial area to expand operations.

“Crypto is the fastest-growing segment of financial services and we intend to be a leader in the most competitive financial market in the world: the U.S., said Bitstamp’s CEO, Julian Sawyer.

At press time, the market-leading cryptocurrency was trading at $58,626, adding over $2,000 to its price overnight.