A new institutional-grade crypto trading platform has been launched by TP ICAP in collaboration with Fidelity Investments and Standard Chartered.
TP ICAP, a global professional intermediates organization, has teamed up with Fidelity Investments, a US financial services company, and Standard Chartered, a British banking powerhouse, to establish a new cryptocurrency trading platform.
Institutional investors will be the target market for the new platform, which will first allow them to trade solely Bitcoin. Ethereum, the second-largest digital asset by market capitalization, will be included at a later date.
Duncan Trenholme, co-head of digital assets at TP ICAP, told the publication that investor interest in this new asset class has surged considerably in the previous six to eight months. “In majority of our customer engagements, they desire a separation of custodial roles from execution capabilities, which is the polar opposite of the current models.”
TP ICAP was already the world’s largest interdealer broker in the financial, energy, and commodities markets before to this. TP ICAP will be able to provide its clients exposure to digital assets through a relationship with Fidelity Digital Assets and Zodia Custody, an institutional-grade crypto custody platform created by Standard Chartered’s venture capital arm SC Ventures and financial services company Northern Trust.
According to the source, the new platform attempts to align crypto trading with traditional assets like equities and bonds. The firms highlighted in the statement that a network of crypto custodians will create a post-trade infrastructure that separates execution and settlements.
This is expected to help attract more large investors who now consider existing systems, which often combine trading and custody services into one, to be too hazardous. Flow Traders, a worldwide market maker and proprietary trading firm, will offer liquidity.
Financial regulators in the United Kingdom have yet to authorize the new crypto trading platform. Both Fidelity Stakes and Standard Chartered have no investments in the platform, according to the firms.