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January 24, 2024 - Leading non-custodial crypto ECN, Finery Markets, has partnered with Hidden Road through its flagship solution FM Liquidity Match, trading infrastructure designed for institutional players in the cryptocurrency space. This collaboration enables Hidden Road's prime brokerage clients to anonymously participate in crypto spot transactions with superior execution quality, with toxic flow protection. The system is now live with institutional clients trading, with Hidden Road providing efficient credit intermediation and post-trade settlement.
To protect liquidity providers from an influx of predatory orders flooding their market, the FM Liquidity Match trading solution incorporates a default taker speed bump. This renders any predatory market behavior and latency arbitrage strategies ("toxic flow") irrelevant. As a result, Finery Markets do not cater to clients who are considered "toxic" by liquidity providers. This protection allows liquidity providers to engage with organic institutional flow and maintain narrow bid-ask spreads.
FM Liquidity Match is available through a GUI or API (FIX 4.4, REST, or WebSocket), and boasts an array of cutting-edge features that will elevate the institutional trading experience to a whole new level. These features include:
- Anonymous trading with firm liquidity pool (no “last look”) for liquidity takers and toxic flow protection for market makers
- A seamless electronic onboarding process
- A role-based access system
- Pre-trade risk management controls and customisable risk limits
- Flexible post-trade settlement and travel-rule compliant reporting
Konstantin Shulga, co-founder and CEO of Finery Markets
Konstantin Shulga, co-founder and CEO of Finery Markets, commented on the new launch "We are excited to announce that we have expanded our partnership with Hidden Road, a leading prime broker for digital assets. Through their role as a prime broker via FM Liquidity Match, Hidden Road now offers their customers the first OTC trading infrastructure that provides ‘no last look’ execution for liquidity takers, while also offering toxic flow protection for market makers.”
Michael Higgins, Global Head of Business Development at Hidden Road
Michael Higgins, Global Head of Business Development at Hidden Road, aslo commeted, “Hidden Road is committed to offering our clients a comprehensive range of tools, both through our own products and in collaboration with trusted partners. We are pleased to announce that Finery Markets' venue has joined our list of execution venues, extending Hidden Road's credit network and OTC prime brokerage offering. This partnership exemplifies our dedication to empowering clients to select their preferred price discovery centers and liquidity solutions. We believe that Finery Markets’ unique offering is a valuable addition to our network."
Thomas Felber, Product Director at Tradu
Thomas Felber, Product Director at Tradu, also added his thoughts, "In line with our commitment to offering a comprehensive One-Stop Investment Solution, we are now integrating advanced cryptocurrency services. Our focus is on providing tight spreads and institutional-level liquidity, similar to our approach in the FX market with competitive commissions. Recognizing the growing interest in cryptomarkets, we have enhanced our capabilities to manage and mitigate crypto-related risks effectively. This strategic partnership is a key step in improving our trading services for the crypto assets, aligning with our goal to provide access to the world's most liquid markets. It ensures a more streamlined and efficient experience for clients who engage with Tradu."
Boris Sebosik, Head of OTC at Wincent
Boris Sebosik, Head of OTC at Wincent, also shared: "We are delighted to announce our collaboration as a launch partner with Finery Markets and Hidden Road, offering competitive quotes to a wide range of institutional clients through FM Liquidity Match. This strategic partnership presents exciting prospects for anonymous trading within a vast pool of institutional clients, enabling us to broaden our market presence.."
Michael Rabkin, Head of Global Business Development at DV Chain, added, “The collaboration between Finery Markets and Hidden Road presents an exciting opportunity to enhance our liquidity provisioning capabilities by broadening our network of institutinal counterparties. We have noticed a growing trend towards a more sophisticated prime-brokerage structure in the crypto space, a concept that has long been established in traditional finance. By incorporating a prime brokerage model through FM Liquidity Match into our global offerings, we can further strengthen our position as a leading provider of institutional crypto liquidity."
