Talos, a provider of institutional trading technology
for digital assets, has partnered with Coinbase Derivatives, LLC, to expand the
platforms available for institutional investors seeking to invest in digital
assets within a regulated framework. The integration of Talos with Coinbase Derivatives
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 capital-efficient tool for managing crypto market
exposure 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.
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 CoinbaseDerivatives‘ futures contracts through algorithms, including Talos’s Multileg
algorithm, which facilitates the implementation of trading strategies.
Talos provides the technology supporting digital
assets for institutional investors. From liquidity sourcing to settlement and
portfolio management, the Talos platform connects institutions to key
participants in the digital asset space.
Last year, Coinbase Derivatives Exchange introduced Bitcoin and ether futures contracts. These futures are accessible through
third-party institutional Futures Commission Merchants and brokers. This step
signified efforts by the crypto exchange to meet the escalating demand for
crypto futures among investors.
Fulfilling Institutional Demands
Futures contracts, by their nature, 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 have presented significant
challenges, including a Wells Notice from the Securities and Exchange
Commission (SEC) in March. The notice accused Coinbase of offering unregistered
securities, highlighting the regulatory uncertainties surrounding the crypto
industry in the US.
Talos, a provider of institutional trading technology
for digital assets, has partnered with Coinbase Derivatives, LLC, to expand the
platforms available for institutional investors seeking to invest in digital
assets within a regulated framework. The integration of Talos with Coinbase Derivatives
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 capital-efficient tool for managing crypto market
exposure 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.
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 CoinbaseDerivatives‘ futures contracts through algorithms, including Talos’s Multileg
algorithm, which facilitates the implementation of trading strategies.
Talos provides the technology supporting digital
assets for institutional investors. From liquidity sourcing to settlement and
portfolio management, the Talos platform connects institutions to key
participants in the digital asset space.
Last year, Coinbase Derivatives Exchange introduced Bitcoin and ether futures contracts. These futures are accessible through
third-party institutional Futures Commission Merchants and brokers. This step
signified efforts by the crypto exchange to meet the escalating demand for
crypto futures among investors.
Fulfilling Institutional Demands
Futures contracts, by their nature, 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 have presented significant
challenges, including a Wells Notice from the Securities and Exchange
Commission (SEC) in March. The notice accused Coinbase of offering unregistered
securities, highlighting the regulatory uncertainties surrounding the crypto
industry in the US.