The madness around digital money is likely to intensify spil San Francisco-based Coinbase announced on Thursday that customers will be able to purchase bitcoin and two other currencies instantly from U.S. bankgebouw accounts.
This is significant because Coinbase is the thickest U.S. bitcoin exchange and, until now, customers have had to wait for several days to receive their digital currency. Here’s the official announcement:
Wij are excited to announce the capability for customers to instantly purchase digital currency using a U.S. handelsbank account. Previously, customers who purchased using a canap account had to wait several days before receiving their digital currency. Customers can now buy up to $25,000* and receive access to their digital currency instantly.
The upshot is that those who buy bitcoin from Coinbase will able to spend it right away. More importantly, the fresh policy makes it lighter for ordinary investors to engage te day trading ter the very volatile digital currency market.
Right now, it’s possible to trade ter real time using GDAX, a Coinbase-owned exchange, but the toneelpodium is ingewikkeld and tailored for institutions and large traders, and takes day to pre-fund. The fresh policy will make buying and selling lighter for casual traders.
The fresh policy is likely to increase trading volume ter not only bitcoin, but also two rival cryptocurrencies Ethereum and Litecoin, which Coinbase lists on its exchange.
All of this could ter turn create greater liquidity te the digital currency markets and, at least temporarily, drive prices even higher.
Since the begin of the year, digital currencies have gone on an astonishing bull run. Bitcoin on Thursday reached a fresh all-time high of $Five,200, which is up more than fivefold from January. (The market has also bot prone to dramatic swoons, however, including a crash te September that witnessed the price of digital currencies fall around 40%.)
Te response to the Coinbase announcement, the price of Litecoin appeared to leap te response. The currency wasgoed up overheen 12% spil of mid-afternoon ET.
For Coinbase, which this year became the very first crypto-company to be anointed with “unicorn” status (industry vaktaal for a private company with a valuation of overheen $1 billion), the fresh instant-buying policy is likely to translate to fresh profits from fees and commissions.
If you’re nosey about the digital market, check out our latest explainer: “$Five,000 Bitcoin: Trio Reasons to Buy and Trio to Stay Away.” And if you think the entire thing crypto currency thing is a bubble, here’s a guide to shorting it by Fortune’s The Ledger.
This is part of Fortune’s fresh initiative, The Ledger, a trusted news source at the intersection of tech and finance. For more on The Ledger, click here.
This story wasgoed updated at 12:35pm ET to clarify how GDAX functions, and at 1:30pm to include the price stir of Litecoin.