A new partnership has been established to enhance liquidity access for institutional clients in the cryptocurrency market. This collaboration involves three entities: a trading platform that facilitates a non-custodial approach to trading, a prime brokerage offering lending and margining services, and a connectivity provider that ensures seamless technical access.
This innovative structure allows institutions to discover and trade over 200 digital assets using a single application programming interface (API) integration. The setup aims to resolve the fragmentation that has historically made it challenging for institutions to engage with various aspects of the crypto market. By leveraging existing infrastructure, clients can access real-time pricing, execute trades efficiently, and utilize lending options without the need for extensive negotiations or custom integrations with multiple liquidity sources.
The prime brokerage services provided include lending opportunities with significant leverage and the ability to margin positions across various trading platforms while maintaining a single counterparty relationship. This arrangement is particularly beneficial for hedge funds and proprietary trading desks that look for flexibility and efficiency in executing their trading strategies.
Furthermore, the infrastructure operates continuously, ensuring that users can engage in trades at any time with low latency, critical for today’s fast-paced trading environment. Target clients range from over-the-counter desks and retail brokers to institutional traders managing diverse asset portfolios, reflecting a broad market need for enhanced crypto access.
As interest in cryptocurrency among institutional investors grows, this partnership also underscores the necessity for financial firms to adapt to an evolving landscape where liquidity is spread across various exchanges and regulatory environments differ from region to region. The partnerships formed since 2019 have allowed for the cultivation of relationships with numerous institutional clients globally.
The integration capabilities offered ensure that existing order management and execution systems can easily connect to the new trading infrastructure without demanding extensive technological modifications, further simplifying the process for clients who wish to engage with cryptocurrency markets.
Overall, the expanded liquidity offerings represent a significant step towards addressing and overcoming the challenges traditional financial institutions face when entering the crypto space. The scope and depth of these services aim to provide institutional clients with not just access but also the necessary security, speed, and reliability that are paramount in today’s trading landscape.