Coinbase Derivatives and Talos Forge Alliance to Boost Institutional Crypto Trading
Talos, a technology provider for institutional trading of digital assets, has partnered with Coinbase Derivatives to expand the
avenues available for investors seeking to invest in cryptocurrency within a regulated framework. This collaboration enables investors to access a regulated futures exchange offering
Bitcoin and ether futures contracts.
According to the press release, these contracts, sized
at 1 Bitcoin and 10 ether, cater specifically to the needs of institutional
investors. They provide a tool for managing exposure to the crypto market without the complexities of direct asset custody.
Daniel Packham, the VP and Head of Operations for EMEA
at Talos, mentioned: “The derivatives markets are a significant component
of the digital assets ecosystem for institutions who seek secure, liquid, and
increasingly regulated venues for trading. We have seen a lot of interest and growth in our
derivatives business, and our integration with Coinbase Derivatives will expand
the universe of regulated futures that clients can access using the Talos
platform.”
Talos and @Coinbase Derivatives open a new avenue for institutional crypto derivatives trading.
➡️ https://t.co/0IKHq58L4A
Our integration will expand the universe of regulated futures that clients can access using the Talos platform.
#CryptoTrading #DigitalAssets pic.twitter.com/NZpHf2PV7e
— Talos (@talostrading) April 2, 2024
Coinbase Derivatives offers nano-sized contracts
tailored for retail investors to allow for more accessible participation in
crypto derivatives trading. Talos’ clients can leverage the liquidity of Coinbase Derivatives’ futures contracts through algorithms, including Talos’ Multileg
algorithm, which facilitates the implementation of trading strategies.
Talos provides the technology supporting digital
assets for institutional investors, such as liquidity sourcing, settlement , and
portfolio management. The firm connects institutions to key
participants in the digital asset space.
Last year, Coinbase Derivatives introduced Bitcoin and ether futures contracts. These futures are accessible through
third-party institutional Futures Commission Merchants and brokers. The initiative
signified the efforts by Coinbase to meet the growing demand for
crypto futures among investors.
Fulfilling Institutional Demands
Futures contracts enable investors
to secure positions for buying or selling assets at predetermined prices in the
future. This offering provides a structured approach to risk management and
speculation in the crypto market. Coinbase’s foray into derivatives followed its launch
of a global cryptocurrency derivatives exchange, which caters to institutional
clients outside the US.
However, regulatory hurdles presented significant
challenges, including a Wells Notice from the Securities and Exchange
Commission. The notice accused Coinbase of offering unregistered
securities, highlighting the regulatory uncertainties surrounding the crypto
industry in the US.
Talos, a technology provider for institutional trading of digital assets, has partnered with Coinbase Derivatives to expand the
avenues available for investors seeking to invest in cryptocurrency within a regulated framework. This collaboration enables investors to access a regulated futures exchange offering
Bitcoin and ether futures contracts.
According to the press release, these contracts, sized
at 1 Bitcoin and 10 ether, cater specifically to the needs of institutional
investors. They provide a tool for managing exposure to the crypto market without the complexities of direct asset custody.
Daniel Packham, the VP and Head of Operations for EMEA
at Talos, mentioned: “The derivatives markets are a significant component
of the digital assets ecosystem for institutions who seek secure, liquid, and
increasingly regulated venues for trading. We have seen a lot of interest and growth in our
derivatives business, and our integration with Coinbase Derivatives will expand
the universe of regulated futures that clients can access using the Talos
platform.”
Talos and @Coinbase Derivatives open a new avenue for institutional crypto derivatives trading.
➡️ https://t.co/0IKHq58L4A
Our integration will expand the universe of regulated futures that clients can access using the Talos platform.
#CryptoTrading #DigitalAssets pic.twitter.com/NZpHf2PV7e
— Talos (@talostrading) April 2, 2024
Coinbase Derivatives offers nano-sized contracts
tailored for retail investors to allow for more accessible participation in
crypto derivatives trading. Talos’ clients can leverage the liquidity of Coinbase Derivatives’ futures contracts through algorithms, including Talos’ Multileg
algorithm, which facilitates the implementation of trading strategies.
Talos provides the technology supporting digital
assets for institutional investors, such as liquidity sourcing, settlement , and
portfolio management. The firm connects institutions to key
participants in the digital asset space.
Last year, Coinbase Derivatives introduced Bitcoin and ether futures contracts. These futures are accessible through
third-party institutional Futures Commission Merchants and brokers. The initiative
signified the efforts by Coinbase to meet the growing demand for
crypto futures among investors.
Fulfilling Institutional Demands
Futures contracts enable investors
to secure positions for buying or selling assets at predetermined prices in the
future. This offering provides a structured approach to risk management and
speculation in the crypto market. Coinbase’s foray into derivatives followed its launch
of a global cryptocurrency derivatives exchange, which caters to institutional
clients outside the US.
However, regulatory hurdles presented significant
challenges, including a Wells Notice from the Securities and Exchange
Commission. The notice accused Coinbase of offering unregistered
securities, highlighting the regulatory uncertainties surrounding the crypto
industry in the US.
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