DeFinity partners with Cobalt
23 December 2021 London
Image: tadamichi/stock.adobe.com
DeFinity, a digital asset electronic communication network and decentralised finance marketplace, has partnered with Cobalt, a market infrastructure provider.
The partnership is to facilitate real-time clearing, settlement and dynamic risk and credit management.
The combined technology of the two companies will enable clients to leverage capital markets processes for digital asset trading, creating a secure technical infrastructure by maintaining the legal confirmation of each transaction.
DeFinity will allow institutional investors to retain independent custody pre-trade, while providing a consolidated view of fiat and digital asset positions.
Speaking on the announcement, Manu Choudhary, CEO and co-founder of DeFinity says: “The partnership provides an enterprise solution for digital assets to interact with traditional FX counterparties with roles throughout the execution lifecycle — custody, execution, clearing, and settlement — clearly defined. Delivering sustainable and non-fragmented digital asset liquidity to market participants is enhanced by our partnership with Cobalt, because of their clearing infrastructure.”
Darren Coote, CEO of Cobalt, adds: “A significant number of financial institutions are eager to capitalise on the cryptocurrency expansion, but the lack of institutional-grade infrastructure limits investment opportunities. The prevailing settlement process is extremely manual, open to significant risks, and not adequate for institutional trading.
“Cobalt provides critical market infrastructure in both digital assets and FX and our partnership with DeFinity will help to distribute our post-trade solution to a broader demographic of institutional traders.”
The partnership is to facilitate real-time clearing, settlement and dynamic risk and credit management.
The combined technology of the two companies will enable clients to leverage capital markets processes for digital asset trading, creating a secure technical infrastructure by maintaining the legal confirmation of each transaction.
DeFinity will allow institutional investors to retain independent custody pre-trade, while providing a consolidated view of fiat and digital asset positions.
Speaking on the announcement, Manu Choudhary, CEO and co-founder of DeFinity says: “The partnership provides an enterprise solution for digital assets to interact with traditional FX counterparties with roles throughout the execution lifecycle — custody, execution, clearing, and settlement — clearly defined. Delivering sustainable and non-fragmented digital asset liquidity to market participants is enhanced by our partnership with Cobalt, because of their clearing infrastructure.”
Darren Coote, CEO of Cobalt, adds: “A significant number of financial institutions are eager to capitalise on the cryptocurrency expansion, but the lack of institutional-grade infrastructure limits investment opportunities. The prevailing settlement process is extremely manual, open to significant risks, and not adequate for institutional trading.
“Cobalt provides critical market infrastructure in both digital assets and FX and our partnership with DeFinity will help to distribute our post-trade solution to a broader demographic of institutional traders.”
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