Binance is launching the long-awaited Sub-Account feature, which is designed to provide a better service to institutional clients.
The announcement was made a few hours ago on the official Binance website.
One of the most requested features for the leading exchange, the new Sub-Account option will enable multiple trading accounts – up to a maximum of 200 – to be set up under a single Master account. This will offer organizations the ability to set up and manage multiple crypto trading accounts.
Master accounts will have an overview of all accounts and their respective trading activity. There will be zero-fees on transfers between the sub-accounts and the master account will have full control over the sub-accounts: enabling freezing of accounts, resetting of 2FA (two-factor authentication), and removal of API keys, orders and passwords.
As the blockchain industry and cryptocurrency markets mature, institutional traders are expected to enter the space. The current leader in trading volume, Binance had already announced that it was laying the necessary groundwork for institutional traders and investors to enter the space.
One of the new services intended to satisfy the need of corporate traders was first introduced in July, when a VIP status was attributed to every account. The VIP level is based on the 30-day trading volume and Binance Coin (BNB) balance, with higher VIP level accounts having to pay less fees. The Sub-Account feature will only be available to clients with a VIP level superior or equal to 3, and the sub-account VIP tiers are calculated by the total trading volume of all sub-accounts under the same master account.
The CFO of Binance, Wei Zhou, told The Block:
“We are seeing an influx of institutional accounts in the space and anticipate institutional demand to pick up substantially in the coming months. One of our key focuses is to provide a platform that services the needs of these clients as well as our retail users.”
Binance has been making the headlines a lot recently. Just two days ago, the company released a demo for its new decentralized exchange, Binance DEX, while also announcing that its own blockchain, Binancechain, is going to be released “very soon”.