Revolutionary e-trading venue will connect the dots between digital assets and the FX market
The world’s first live e-trading venue for institutions seeking to trade between gold, digital assets and forex is shortly to be a reality, according to sources close to the business.
1Gamma, which will soon be in a position to on-board clients, will offer separation of trade execution and custody while also allowing counter-party anonymity.
The venture is being supported by an as yet unidentified Tier 1 bank which will intermediate credit in order to facilitate trade execution without the need for pre-funding transactions and settle trade without undue counter-party risk.
The new platform is going to be custody agnostic and will represent a merging of the existing transactional capabilities of DMALINK (forex and gold trading) and DeFinity Markets (digital assets trading).
Between them the two firms have already transacted over a trillion dollars including across 63 currency pairs.
“It is our belief that the digital asset market structure will soon closely mirror FX where assets and capital aren’t parked on centralised exchanges,” explained Manu Choudhary, CEO of DMALINK.
“Counter-parties in these asset classes are seeking an enterprise grade solution that fulfils their financial, regulatory and operational requirements.”
Choudhary became CEO of DMALINK in 2019 and was a co-founder of the DeFinity Markets, the data-centric ECN, in October 2020.
Safer and more regulated trading
Emphasis on safer and more regulated trading of digital assets has increased significantly since the collapse of cryptocurrency exchange FTX in December. With regulators now focused on the role played by exchanges in digital assets trading, market participants are looking for solutions that can provide a better means of asset custody and a smoother interface with traditional financial markets.
1Gamma is designed to act as a marketplace where clients can buy and sell currencies, gold and digital assets anonymously.
1Gamma functions solely as a technology platform and is not a counter-party to any trades. This enables fund managers, who may be constrained by their ability to only face investment-grade counter-parties, to gain access to the digital asset market for the first time and creates the first credible bridge from traditional finance to digital finance.
The company is also working on solutions for investors in the area of machine learning, including the development of volatility predictors for both active traders and risk management teams overseeing digital assets exposures.
- “1Gamma recently graduated from the Texas based FinTech accelerator NewChip and is concluding a series-A capital raise with institutional investors.
- We are always looking for suitable partners to help accelerate our unique digital asset offering.”
The armchair trader - by Stuart Fieldhouse 14th April 2023 https://www.thearmchairtrader.com/e-trading-venue-digital-assets-1gamma/
Meet the team of industry experts behind ComsureFind out more
Keep up to date with the very latest news from ComsureFind out more
View our latest imagery from our news and workFind out more
Think we can help you and your business? Chat to us todayGet In Touch
As well as owning and publishing Comsure's copyrighted works, Comsure wishes to use the copyright-protected works of others. To do so, Comsure is applying for exemptions in the UK copyright law. There are certain very specific situations where Comsure is permitted to do so without seeking permission from the owner. These exemptions are in the copyright sections of the Copyright, Designs and Patents Act 1988 (as amended)[www.gov.UK/government/publications/copyright-acts-and-related-laws]. Many situations allow for Comsure to apply for exemptions. These include 1] Non-commercial research and private study, 2] Criticism, review and reporting of current events, 3] the copying of works in any medium as long as the use is to illustrate a point. 4] no posting is for commercial purposes [payment]. (for a full list of exemptions, please read here www.gov.uk/guidance/exceptions-to-copyright]. Concerning the exceptions, Comsure will acknowledge the work of the source author by providing a link to the source material. Comsure claims no ownership of non-Comsure content. The non-Comsure articles posted on the Comsure website are deemed important, relevant, and newsworthy to a Comsure audience (e.g. regulated financial services and professional firms [DNFSBs]). Comsure does not wish to take any credit for the publication, and the publication can be read in full in its original form if you click the articles link that always accompanies the news item. Also, Comsure does not seek any payment for highlighting these important articles. If you want any article removed, Comsure will automatically do so on a reasonable request if you email firstname.lastname@example.org.