“Our partnership with FinchTrade meets our goal to diversify liquidity sources and expand our OTC trading network. In addition to building client momentum from institutional and traditional finance, important players in digital assets such as FinchTrade allow our network to access the best liquidity in crypto.”
FinchTrade, a Swiss cryptocurrency liquidity and investment tools specialist, has announced a strategic collaboration with Cypator, a leading institutional crypto Electronic Communication Network (ECN), to deepen liquidity and minimize risks in the over-the-counter (OTC) crypto trading space.
At the heart of this partnership is FinchTrade’s commitment to elevating its service offerings, particularly in the realms of order execution and liquidity provision for client investment strategies. The collaboration entails FinchTrade harnessing Cypator’s ECN for enhanced liquidity discovery, encompassing pre-trade balance checks through settlement.
The synergy between FinchTrade’s expertise in liquidity provision and Cypator’s renowned institutional-grade, anonymous, credit-based execution network is poised to set a new standard for digital asset trading in Europe.
Anonymous, credit-based execution network for Crypto OTC trading
Key facets of this collaboration include the diversification of liquidity sources, with Cypator aiming to expand its list of counterparties for bilateral trading. Additionally, FinchTrade gains access to Cypator’s anonymous ECN, facilitating efficient market-making and liquidity-taking. The partnership ensures risk-controlled execution by leveraging prime brokers such as HiddenRoad as central clearing agents, fostering efficient risk management and net settlement of all trading activities.
Beyond the operational aspects, this collaboration contributes to the strengthening of FinchTrade’s presence in the European digital asset market. Simultaneously, it marks a significant growth phase for Cypator in the region, signaling an evolution in the digital asset trading landscape in Europe.
Key Highlights:
Liquidity Enhancement: FinchTrade will leverage Cypator’s ECN for enhanced liquidity discovery, incorporating pre-trade balance checks through settlement. This move underscores FinchTrade’s commitment to elevating its service offerings, particularly in order execution and liquidity provision for client investment strategies.
Cypator’s Institutional Grade ECN: The collaboration brings together FinchTrade’s expertise in liquidity provision with Cypator’s renowned institutional-grade, anonymous, credit-based execution network. This synergy is poised to set a new standard for digital asset trading in Europe.
Diversification of Liquidity Sources: The alliance contributes to Cypator’s goal of diversifying liquidity sources, expanding its list of counterparties for bilateral trading. This move enhances the overall robustness of liquidity in the crypto market.
Advanced Trading Access: FinchTrade gains access to Cypator’s anonymous ECN, facilitating efficient market-making and liquidity-taking. This positions FinchTrade to optimize its trading strategies and execution capabilities.
Risk-Controlled Execution: Through Cypator, FinchTrade benefits from leveraging prime brokers such as HiddenRoad as central clearing agents. This ensures efficient risk management and net settlement of all trading activities, promoting a controlled and secure trading environment.
European Market Strengthening: The partnership not only fortifies FinchTrade’s presence in the European digital asset market but also signifies a significant growth phase for Cypator in the region. The collaboration is expected to contribute to the evolution of the digital asset trading landscape in Europe.
Vibhanshu Bahuguna, Global Head of Sales & Business Development at Cypator, highlighted the value brought by influential players in digital assets like FinchTrade. “Our partnership with FinchTrade meets our goal to diversify liquidity sources and expand our OTC trading network. In addition to building client momentum from institutional and traditional finance, important players in digital assets such as FinchTrade allow our network to access the best liquidity in crypto.”
Yuri Berg, Board Member of FinchTrade, views the collaboration as a strategic move to enhance order execution and liquidity services while broadening distribution channels to cater to takers on Cypator. The partnership reflects a mutual commitment to advancing the efficiency and sophistication of OTC crypto trading.
Cypator ECN founded by ex-Tradair CEO Ayal Jedeikin
In September 2023, Cypator announced it had successfully cleared over 100,000 crypto trades in partnership with Hidden Road prime brokerage.
Cypator was launched in April 2023 in partnership with prime broker Hidden Road. The Cypator ECN supports trading via a Front End or via a FIX API. Based on AWS Cloud technology, the technology uses a low latency smart order router to achieve best execution and embeds liquidity monitoring to ensure fair play.
The crypto ECN was founded by Ayal Jedeikin, former CEO of TradAir, the leading supplier of FX and Crypto end-to-end front-office trading solutions which was recently acquired by ION.
