A new prime brokerage service has been launched by cryptocurrency trading company FalconX, enabling institutions to trade on exchanges while keeping their money in controlled, bankruptcy-remote custody.
Post-trade settlement, institutional-grade credit, and portfolio margining are also included in FalconX’s Prime Connect, which was revealed on Tuesday, according to a recent press release from the business. FalconX’s premier broking and custody solution is being integrated for the first time by Deribit, the largest cryptocurrency options exchange globally.
The cryptocurrency industry has learned from FTX’s collapse that client assets must be kept in custodial arrangements that are totally isolated from those of exchanges, brokers, and trading organisations
According to a statement from Vivek Chauhan, product manager at FalconX, “We are happy to launch Prime Connect with Deribit and look forward to providing our full suite of prime services which allow institutions to confidently scale their digital assets portfolios while trading on exchanges.”
Prime Connect is being used by a number of trading companies, including Hyperithm, to trade on Deribit. FalconX has stated that additional exchanges will be able to access the services in the upcoming months.
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