TP ICAP partners with Fidelity unit for cryptoasset trading
Broker TP ICAP is set to launch a crypto-asset trading platform for institutional investors later this year, a spokesperson said.
The move is an extension of TP ICAP’s digital asset business, which was established in 2019 and allows investors to trade crypto-asset derivatives.
For the latest launch of the platform, TP ICAP will collaborate with Fidelity Digital Assets, which is part of Fidelity Investments, and Zodia Custody – which is managed by SC Ventures, the innovation arm of Standard Chartered Bank – to provide custody of digital assets. TP ICAP has also partnered with market maker Flow Traders to provide liquidity.
The launch of the London-based platform is dependent on registration with the UK Financial Conduct Authority.
Firms have developed a new trading model where investors will be able to access TP ICAP’s liquidity while their assets remain in the custody of the digital asset custodian of their choice, a press release said on Tuesday. Investors can immediately trade cryptoassets on the platform at the current market rate and on a specified date, known as spot trading.
“Client demand to trade spot cryptoassets is significant and growing, with interest coming from our traditional client base in the various asset classes in which we operate. But to date, many of our clients have not been able to access the crypto-asset markets due to the current limitations of the market infrastructure. , most of the execution venues requiring pre-funding and also acting as a custodian, ”said Simon Forster, co-head of digital assets at TP ICAP, in the statement.
Chris Tyrer, Head of Fidelity Digital Assets in Europe, added in the statement: “With this new infrastructure, we are resolving one of the frictions in the investor experience that is unique to this nascent asset class. Now investors can execute trades with more confidence. knowing that their assets remain immobile and secure in our care. “
Separately, Deutsche Boerse Group announced on Tuesday that it has acquired a two-thirds controlling stake in financial group Crypto Finance, which offers trading, storage and investment in digital assets to institutional and professional investors.
Deutsche Boerse’s investment was in the triple digits in millions of Swiss francs, according to a spokesperson.
As part of the deal, which is expected to be finalized in the fourth quarter, Deutsche Boerse will strengthen its post-trade services of digital assets such as custody. Deutsche Boerse also intends to make Crypto Finance’s offering easily accessible to market participants through its own established platforms.
“We are delighted that Crypto Finance is joining the group. The team is an ideal strategic fit and will help us immensely on the path to building a reliable and fully regulated digital asset ecosystem for institutional investors in Europe,” Thomas Book, board member for trading and clearing at Deutsche Boerse, said in a press release.