According to a news release, cryptocurrency lender Nexo has launched a trading platform for retail clients that includes spot, futures, and margin trading.
Nexo Pro, the trading platform, will aggregate liquidity from more than ten trading venues and market makers to minimize order slippage, or the price shift that occurs between the time an order is made and the time it is executed. Slippage happens when a market order is placed in a market with insufficient liquidity, causing the average price to vary.
Nexo has survived this year’s crypto winter, an accomplishment not shared by many of its lending competitors, including Voyager Digital and Celsius Network, both of which declared bankruptcy in recent months following a sharp drop in cryptocurrency values.
Nexo’s lending platform already had a “swap” function that allowed customers to exchange one cryptocurrency for another, but the move into derivatives trading is unprecedented for a yield-generating company like Nexo.
However, trading platforms and exchanges are not without risk. Eqonex, a financial services corporation based in New York, shut down its exchange product last month, citing fierce market rivalry, low profitability, and significant technological burden. Coinbase (COIN) has also discontinued its separate Coinbase Pro program in order to merge “sophisticated trading” into its retail app.
Nexo’s co-founder and executive chairman, Kosta Kantchev, remains optimistic, describing Nexo Pro in the statement as “a route to professional-like trading for retail consumers.”
“We are the first platform to offer institutional-grade liquidity aggregation with this many venues as pure-play exchanges usually prefer to settle exclusively within their own order books,” he said.