By
Chimamanda U. Martha
April 29th, 2024
This move is part of FalconX’s ongoing push to rehaul institutional crypto trading and bring it more tightly into traditional financial systems.
Renowned crypto prime broker FalconX has recently announced the launch of a dedicated foreign exchange (FX) desk in London to boost its market presence and enhance its service offerings. The new FX desk is set to offer crypto trading firms, exchanges, and brokers access to 20 forex pairs, including major currencies such as the US dollar, euro, and British pound.
1/5 The FX market is the largest financial market in the world, but crypto companies have always had trouble accessing fiat.
Today, we’re helping solve those problems. 🔥🔥🔥
Introducing the new FalconX FX desk, offering deep liquidity on a wide range of top fiat currency… pic.twitter.com/xmFSlR0xSk
— FalconX (@falconxnetwork) May 28, 2024
This development is part of FalconX’s broader strategy to provide seamless access to fiat currency markets for crypto entities, which have traditionally faced significant barriers.
Notably, the new initiative will be staffed by a team recruited from the crypto banking firm BCB Group. The team is composed of industry veterans including Ben Sebley, who is going to head the operation. Acting as the head of FX trading is Richard Usher, and Lux Thiagarajah has taken the role of head of commercial FX. According to the announcement, the desk will consist of five members in total, bringing together a wealth of expertise in both crypto and traditional financial markets.
Enhancing Liquidity and Fund Movements
FalconX, which claims the title of the world’s largest digital asset prime broker, offers trading, financing, and custody services to institutions with access to over 400 crypto tokens.
Historically, crypto companies have struggled to access the fiat markets, which remain the largest financial markets in the world. FalconX’s new FX desk will deal with these constraints, boosting access to deep, low-cost liquidity on a wide range of top fiat currency pairs. Austin Reid, global head of revenue and business, highlighted that institutional investors, including hedge funds and market makers, will benefit from the FX liquidity provided by the new desk. As a result, this would streamline fund movements across traditional currency pairs with same-day settlement options. He added:
“FalconX’s new foreign exchange desk will help unlock the industry’s developing capital markets at a key moment for global adoption, merging crypto and fiat seamlessly while setting a new benchmark for efficiency and integration.”
The FX desk will also offer streamlined solutions for trading firms, market makers, and retail brokers, as the announcement reads:
“Brokers who want to tap into deep, low cost liquidity for fiat can come to FalconX to give their customers the best experience at a much better price.”
Bridging the Gap
This move is part of FalconX’s ongoing push to rehaul institutional crypto trading and bring it more tightly into traditional financial systems. Only last month, it rolled out Prime Connect, which allows institutions to trade on exchanges with their funds held in regulated, bankruptcy-remote custody. Prime Connect also includes post-trade settlement, institutional-grade credit, and portfolio margining to further extend FalconX’s suite of institutional services.