Cinnober, which was acquired by Nasdaq in September, has signed on to help Luxembourg-based Bitstamp, a crypto exchange with many millions of trades and years to its record. Bitstamp’s matching system will reportedly increase 1,250x, and its overall throughput will increase by 400x, according to the exchange’s estimates.
“This is a crucial step on our mission to bridge the gap between crypto and traditional finance and will push the technological frontier in crypto trading a step further. We chose Cinnober because of their proven track-record in worldwide financial marketplaces, their understanding of our vision and ability to work closely with us to customize the technology to meet our needs.”
Bitstamp had done a 24-hour trading volume of more than $50 million at time of writing, making it the 33rd most-used exchange in cryptocurrency. It lists mostly “blue chip” pairs and this accounts for its lower volume – places like Binance list dozens of tokens and therefore see a lot more activity.
“Our platform’s order matching speed is expected to become 1250x faster, while throughput will increase by 400x,” – David Osojnik, Bitstamp CTO. pic.twitter.com/t9t0iVO9z6
— Bitstamp (@Bitstamp) November 5, 2018
Bitstamp likely hopes improving its technology will attract new traders, and notes that the improved technology will increase their capacity:
“The new matching engine will be implemented in a few phases, with the first changes taking place in Q1 of 2019 and full implementation expected by the end of Q2. It will allow us to meet any amount of demand and provide a number of additional services without a drop in performance.”
It’s been some time since we heard from Bitstamp, aside from their acquisition last month. The acquisition seems tied to the technological enhancements. Bitstamp is now owned by the same group that owns Korbit, one of the leading Korean bitcoin exchanges and remittance services.
A few years ago, they had some issues with vulnerabilities being exploited and DDoS attacks, but operations seem to have run smoothly in the meantime. If other changes such as the addition of numerous trading pairs are made moving forward, it’s reasonable to expect much greater performance from one of the oldest Bitcoin exchanges in the world, having existed since the days of Mt. Gox.
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