XTRD and CEX.IO Announce Integration Partnership Offering Institutional-Grade Trading Services

This article was originally published by Businesswire.com

NEW YORK–(BUSINESS WIRE)–XTRD, a technology company building Wall Street-grade institutional trading products for cryptocurrency trading, has announced their integration with CEX.IO, a global cryptocurrency exchange with over 2.7 million users which recently announced their expansion into the US market. The partnership will integrate existing and future XTRD trading products with CEX.IO and create a CEX.IO institutional services division that utilizes XTRD-based products. XTRD CEO, Alexander Kravets, and CTO, Serge Gulko, will assume CEO and CTO roles of CEX.IO’s US offices and lead the institutional division of the company.

“The collaboration of XTRD with CEX.IO provides us with an incredible platform to service institutional clients with existing and future XTRD products, working together as originally described in our white paper,” said Alexander Kravets, CEO of XTRD and CEX.IO US. “We will continue to build products and services in the XTRD ecosystem, but we will now have the ability to leverage the CEX.IO platform, which is fully regulatory compliant and licensed across many jurisdictions around the world, including much of the US and EU. As many exchanges have recently announced their plans to leave the US market, CEX.IO will be moving in, and this is a great opportunity for both companies to join forces and build a top-notch, first of its kind institutional trading services and technology division.”

XTRD and CEX.IO will jointly offer an institutional product where CEX.IO institutional clients will be able to utilize the worldwide XTRD market data and order routing network with a unified FIX API and Virtual Private Server/Colocation services, allowing for access to most liquid digital asset exchanges with just one standard API and hosting hardware for high-frequency traders and hedge funds in XTRD’s secure cage at Equinix NY4. Existing XTRD clients can open accounts at CEX.IO and leverage their crypto fiat gateway with reliable worldwide banking, margin trading, payment services, clearing, proprietary AML/KYC solutions, and licensing in multiple jurisdictions including Gibraltar, US, Cyprus, and the UK. XTRD will manage these direct relationships and engage in institutional business development.

In addition, the two companies will collaborate on the joint development of the XTRD Single Point of Access (SPA) product leveraging XTRD routing technology with CEX.IO’s liquidity worldwide and combined XTRD and CEX.IO digital exchange relationships. SPA allows professional traders to trade across multiple exchanges with aggregated liquidity and one access point, freeing them from the headaches of maintaining multiple accounts and API integrations across disparate exchanges while bearing counterparty risk. CEX.IO will custody all accounts and settle trades in compliance with local regulations worldwide, while XTRD will handle the technical and order routing mechanism, as well as relationship management.

The XTRD utility token will be accepted as a means for payment of services of joint institutional XTRD/CEX.IO products and a liquidity pool is planned at CEX.IO to facilitate XTRD token purchases by product users.

“Our partnership with XTRD becomes a foundation for the whole line of services that speaks to the needs of our institutional clients,” says Oleksandr Lutskevych, CEO of CEX.IO Global. “These clients require mature and robust technology and tools to capture opportunities offered by the digital asset landscape. As clients’ interests have always been a top priority at CEX.IO, working with the talented team of XTRD, allows us to provide the level of service that our professional clients deserve. Single Point Access is the first product we’ll be ready to launch with XTRD over the course of this year. It will mark the beginning of the entire ecosystem of products, which we look forward to bringing to market with our joint effort.“

CEX.IO has recently launched a dedicated US presence after obtaining nine Money Transmitter licenses. The company can immediately serve residents in 28 states, with plans to eventually expand to all 50 states. CEX.IO was founded in 2013 and was one of the first crypto exchanges to offer purchases of cryptocurrency for credit and debit cards. CEX.IO maintains a strong network of payment service providers and banking relationships and actively collaborates with regulators to adjust local laws to the fast-pacing blockchain industry. 2.7 million registered users across 224 countries and territories use CEX.IO products and services for all their cryptocurrency needs.

XTRD was founded in 2017 by a team that has over 30 years of combined extensive real-world experience building robust, battle-tested trading systems in FX, Equities, Derivatives, and other instruments. They have specialist knowledge in all facets of brokerage services, execution, market data, trading platforms, clearing, settlement, algorithmic trading, and automated trading systems. XTRD principals and advisors have worked in active trading firms all over the world as well as large financial institutions.

To learn more visit: www.xtrd.io and www.cex.io

CEO of XTRD participates on institutional crypto trading panel in Moscow

Alexander Kravets, CEO of XTRD, took part in an institutional crypto trading panel in Moscow hosted by multinational telecom provider Avelacom, an XTRD Partner – alongside representatives from CBOE, RJ O’Brien, Exante, Finam, and the Moscow Derivatives Exchange. He shared his thoughts on crypto industry general trends and market landscape. Here are some highlights.

For how long have you been on the crypto market? What are the differences between the time you started and now?

We began working with cryptocurrency about two years ago. We started with creating a few trading strategies for ourselves, but encountered a massive amount of technological and jurisdictional issues, from which we decided to build a business to solve these problems.

At that time a few Javascript programmers could slap together a basic trading platform, call themselves an exchange, and become millionaires 6 months later. The problem was that they had almost no knowledge of how the financial industry actually works. As a result, hundreds of exchanges were created, most of which suffered from technological problems (like a matching engine capacity of 10 orders per second max) and unable to solve basic business issues like accepting fiat to trade on their exchange.

That was combined with a bunch of odd characters promising the dawning of a new blockchain age and you get the picture.

Half of these companies already disappeared, another quarter will be gone in the next year or two. This is actually quite healthy and is in line with business Darwinism.

At this time we see increased interest in digital assets from traditional financial companies, who are beginning to “feel out” the market. The products that are being launched are more mature, and remind us of traditional equity and FX technologies. They are also supported by larger, mainstream companies like Fidelity, ICE, and in many cases have traditional VC backing. Financial incumbents are betting on the future of blockchain and digital assets.

How did these changes impact your current activity or your plans?

We are intensively working to expand our product offering as we want to establish a market niche for XTRD. Pretty soon we’ll be working Chinese hours 9-9-6 (nine to nine, 6 days a week).

XTRD provides a range of offerings for access to various crypto exchanges via FIX API, that we have built from scratch. Our server infrastructure is located in Equinix NY4 and we work closely with Avelacom in order to provide our clients the fastest, safest, and high-quality access to various digital asset liquidity points around the world.

The reality is that this turbulent formation period will come to an end sooner or later, there will be greater regulatory clarity and more defined asset classes. Our aim is to help build this ecosystem.

For example, just two years ago no one was considering centralized clearing, and today we, along with multiple other organizations, are evangelists for this idea, lobbying exchanges to join.

Is crypto market really that specific or the borders between cryptocurrency and the traditional financial instruments are fading away after the players from the traditional financial sphere came to the market?

At this time there is a difference, and it’s substantial. The digital asset space is strongly reminiscent of the FX industry and its’ initial formation. If we are talking about crypto exchanges, these are disparate points of liquidity, floating in space, that don’t really communicate with one another. They have severe infrastructure issues, such as uptime, slow matching engines, bad support, lack of safety of funds, difficulty with fiat, etc.

Luckily, the situation is gradually improving, as existing players begin to understand that they cannot continue to operate or they will not survive. Consider the “new kids on the block” for exchanges – these aren’t Javascript programmers anymore – instead, they’re generally financial technologist behind whom stand traditional financial companies. The traditional players, in turn, want to trade in the way they are used to. This means centralized clearing, FIX API, cross connection, and some kind of common ruleset.

However, we shouldn’t think that if traditional financial companies enter the digital asset space, they change it exactly to their spec. They also have to adapt. For example, clearing with stable coins and smart contracts will allow clearing to occur instantly and minimize credit risk, so that could potentially eliminate T+1 or longer settlement.

DLT [digital ledger technology] is excellent technology. It may not be the next Twitter killer, but it’s quite applicable in the financial space.

The idea of decentralization: does it play any kind of key role in further industry development?

This doesn’t really apply. To be honest, the concept of decentralization is very far removed from reality. It sounds great on paper and in theory, but in practice it doesn’t work.

Think about it – if everyone has to take custody of their own wallet, no one is really responsible on a larger scale. If you have problems, you’re on your own.

People may dislike banks and exchanges for a range of reasons, but the reality is that the services they provide have a separate value. They may be expensive now, but advances technology will lower those barriers. Competition will also play a role in lowering prices.

Do you expect the rise of new players that might be able to influence the landscape of the market?

Fidelity for custody, a 2.3 B asset manager.

Bakkt for retail participation via b/d model and clearing at Bakkt (if CFTC approval).

We see many companies that focus on lending like lending club/prosper model – Celcius, Blockfi, and some institutional ones like Seabury. This speaks to the fact that institutional appetite is to short crypto and also retail HOLDers who don’t want to sell betting against them, probably a losing battle.

New modern exchanges that are much stronger in terms of tech and compliance that will likely corner the market vs incumbents because they are supported by traditional financial players (Seed CX, an XTRD partner).

What can you recommend to the companies that are planning to try crypto trading?

We like to advise on a practical approach – try a bit and go from there.

The rules of the game in digital assets and FX differ and it’s better to discover those for yourself, using smaller sums.

The technological “backwardness” of this market is actually an advantage – the barrier of entry is low, you don’t need to spend lots of money on infrastructure to start in production – most data is publicly accessible and free, you can connect over Internet, even on wifi from your balcony.

In digital asset trading, you’ll spend a lot of time to solve problems that in theory should not exist – connection to exchanges, APIs, a bunch of varying and exchange specific formats and protocols. You can try to solve this in house – belive me, it’s a major headache to have to code for data and execution in a different spec for each individual exchange – or utilize the services of companies like ours.

If you are conducting latency arbitrage, you have a year, maybe two. Even now the top of book is generally quite thin. Exchanges are already beginning to function as LPs and aggregate liquidity, consolidate order books – this limits arbitrage opportunities between exchanges and since many people are doing latency arb, this is competitive. The fees are also still high, taker fees can be as much as 30 basis points per execution.

Next step is bigger exchanges consolidating liquidity and adding datacenter presences, creating traditional HFT arbitrage scenarios we see in equities and FX.

If you have a stable business in FX or equities, hold on to it, but don’t be afraid to experiment with these new asset classes!


BKCoin Capital announces a partnership with XTRD

BKCoin Capital, LP (“BKCoin Capital”)  is pleased to announce its intention to leverage the infrastructure and trading technology developed by XTRD.IO (“XTRD”), a trading technology company. The recently-inked partnership brings the esteemed clientele of BKCoin Capital access to XTRD’s mature technology and infrastructure for cryptocurrency markets.

BKCoin Capital, one of the first digital asset hedge funds, committed to delivering consistent, uncorrelated absolute returns through the exploitation of arbitrage opportunities across various regulated digital asset exchanges globally. The fund’s partnership with XTRD will help utilize global financial markets to enable easy cross exchange trading and market data analytics through a unified, secure, and co-located portal bespoke to institutional needs.  

We are excited to work with XTRD in order to continue to provide our clients with transparency across all of our global trading operations. BKCoin Capital’s deep fundamental and technical analysis along with our powerful proprietary algorithms help us stay at the forefront of active portfolio management of digital assets. This partnership will allow BKCoin Capital to actively collaborate in bringing higher standards, legitimacy, and sophistication to digital asset markets.” says Carlos Betancourt, Founding Principal at BKCoin Capital.

XTRD will integrate BKCoin Capital into its own ecosystem to provide easy access to real-time market data and execution for multiple crypto exchanges via XTRD’s unified FIX API. BKCoin Capital will now seamlessly get access to new liquidity pools without significant changes in their algorithms.

Alexander Kravets, CEO of XTRD, said “The needs of the institutional trading community require a level of abstraction, focusing on alpha as opposed to the infrastructure challenge of coding to hundreds of exchange API’s. We are excited to work with BKCoin Capital in enabling efficient trading opportunities across the space.

For more information, please visit www.bkcoincapital.com and www.xtrd.io.


BKCoin Capital, LP is one of the first digital assets hedge funds in New York, NY founded by two former traders bringing over 20 years of institutional trading experience. The team behind BKCoin Capital has over 45 years of wide-ranging experience on Wall Street including managing and trading over $40 billion multi-asset portfolios at large institutions such as JPMorgan, Evercore ISI, and AllianceBernstein. Poised to become a key disruptor in the decentralization of financial systems, BKCoin Capital, LP is offering investors a venue to capitalize on market conditions while aiding in the establishment of cryptocurrency as a new asset class.  Visit https://bkcoincapital.com for more information.


Founded in 2017 by global financial markets trading experts, XTRD is introducing a new infrastructure to allow banks, hedge funds, and large institutional traders easy, reliable access to any cryptocurrency market they choose.  By building a low-latency infrastructure with a unified FIX API across multiple liquidity points, XTRD is taking an industry standard technology used within global financial markets – namely FIX – for over 25 years and introducing it to the cryptocurrency market. Visit https://xtrd.io/ for more information.

LGO Markets Announces Partnership with XTRD to Onboard Institutional Traders

LGO Markets, a non-custodial, secure and transparent trading platform dedicated to institutions and XTRD are delighted to announce their collaboration.

XTRD is a technology company introducing a new infrastructure allowing banks, hedge funds, and large institutional traders to easily access cryptocurrency markets. XTRD will integrate LGO Markets into its own ecosystem to provide easy access to the exchange’s real-time market data and execution through unified FIX API. Therefore, institutional traders will seamlessly get access to new liquidity pool without significant changes in their algorithms.

LGO Markets, in their turn, will provide white glove support for XTRD clients.

On further steps, companies agreed to work together on rebuilding ecosystem that should bring execution and clearing services on a new level. LGO Markets started with uncompromising respect to regulations from day one what makes it the perfect partner according to XTRD.

When we just started our dialog, I was pleasantly surprised by the fact, that the entire solution was being built by traditionally good French engineers. Besides technological stack, LGO Markets is taking seriously on regulations what is good for company and industry as a whole,” said XTRD CTO Serg Gulko. “Over the time we discovered that we might have much more to work in common besides FIX API integration.

Hugo Renaudin, CEO at LGO Markets, commented “We’re extremely excited to partner with XTRD, a leading infrastructure provider for traders in the cryptocurrency space. We both share the same passion for good products and excellent engineering. As our ambition is to become the reference institutional platform for trading, clearing, and settlement of digital assets, it only makes sense to work with XTRD which will provide institutional grade access to our platform.

XTRD Product Update – December 21, 2018

We would like to share the technical progress we’ve made during last few months:

  • total supported exchanges: 16
  • lines of code committed: 210k

Here is the full list of exchanges:

  • Coinbase Pro
  • Binance
  • Bittrex
  • Gemini
  • HitBTC
  • CEX.IO
  • OKEx
  • Bitmart
  • Huobi
  • Bitfinex
  • BitFlyer
  • itBit
  • BitMEX
  • CoinFloor
  • Kraken

We still focused mainly on FIX API because this is the most popular and demanded product. Generally, our clients already have a trading login in place and they simply want to explore new venues (like digital assets) so our offering fits their needs perfectly.

There are several enhancements we are looking to implement in 2019:

  • master/sub-accounts relationships with embedded pre-trade risk management
  • ability to do real-time drop-copies (list of all executed orders) to different consumers like clearing houses

XTRD will also work closely with new exchanges, trying to understand their needs and goals. Their names might not be so vibrant (for now) but their approach definitely distinguishes them among others — LGO MarketsSeedCX, and BeQuant. We decided to start with regular integration like market data and order routing.

CTO Q&A Session #2: November 6, 2018

This Tuesday, on November 6, XTRD CTO Serg Gulko run his second one-hour long Q&A session in our Telegram chat. Here is a short transcript. Prepare your questions for next Tuesday, and join the discussion!

Q (Mike P): Hey Serg, how are all things with XTRD?

A (Serg Gulko): Hi Mike! I was thinking to create GitHub or BitBucket account to publish some stuff as well. Like client connector samples. Client side (buy side) -> XTRD Gateway. We are using commercial libraries (OnixS FIX Engine) but we also can code samples on QuickFIX of Fix8.

Q (Crypto Reilly): Hi Serg! Some of us were wondering if there is a roadmap for XTRD?

A (Serg Gulko): Well, the roadmap is very simple: FIX is live, PRO will be live by end of 2018 — beginning of 2019, DARK (it’s really dark…) — probably 2019. Besides this big things, we are constantly adding new connectors. We also want to bring to market several offering to newcoming crypto exchanges. It’s like a bundle — infrastructure (which is less important), routing (has value), liquidity (super important).

Q (Mike P): The liquidity is the cross exchange functionality?

A (Serg Gulko): Yes. We have access and tech to deliver it. And, what is most important — we see huge interest from exchanges side 🙂

Q (Crypto Reilly): Great, in one of the YouTube videos of Alex at the NYSE he said something about looking to raise 75–100 million for liquidity. Is this liquidity needed for DARK or other areas of the project?

A (Serg Gulko): Yes, these funds supposed to be deployed in liquidity project.

Q (Conflipper): In the fast pace of crypto. What is XTRD doing to stay ahead of market trends and adapt to the ever evolving market?

A (Serg Gulko): Market trends right now is a centralized clearing model. We are involved in two pilot projects with exchanges, clearinghouses, and end clients. I can’t disclose the names at this moment. But speaking of trends — this is the one:) It might be not very visible on the retail side, but it’s super important for institutional players. Another trend is STOs.

Q (Conflipper): How will STO impact, if at all, the company?

A (Serg Gulko): We are working closely with exchanges that will provide the ability to trade digital securities. We strongly believe in new asset classes that will boost trading activities.

Q (Crypto Reilly): I watched a presentation by former NASDAQ chairman and it sounds like there are huge regulation problems to address. Are STOs many years away in your opinion?

A (Serg Gulko): It not that far. Many exchanges are working to get approval from local regulators. And, based on what we see, they (regulators) become more open to new ideas. E.g. we had a conversation with BAKKT people last Friday, they are launching in 6 weeks. Is this not amazing?

Q (Conflipper): How are you handling exchanges? It seems every month there is a new exchange. It doesn’t seem super obvious to myself that you have many exchanges signed up currently. So with new exchanges being created always how will you keep to speed with them.

A (Serg Gulko): Our strategy with exchanges varies on depends who they are. Let’s say, from an established exchange we are trying to get:

  • faster connection(not over the public internet);
  • direct access to IT team;
  • preferential treatment for our clients.

In return, we can bring good, fat clients:) With new exchanges our rhetoric is different. As I mentioned before, we will create a package/product that will include:

  • infrastructure (colo/servers/connectivity/security);
  • access to liquidity.

Q (Conflipper): As that been demonstrated to existing exchanges? Or simply on paper? And is that the only conditions? Sometimes new business needs to bend a little to get foot in door.

A (Serg Gulko): Idea with a package for new exchanges came to my mind like a two weeks ago. We will update our website/presentation very soon to reflect it.

Q (Mike P): I think a lot of folks wonder where the utility token will fit in with this; we know there is the holding amount that provides discounts, but it does sound like the project has many facets that could be hard to tie together with respect to fees. While the roadmap does outline the products being offered, what about the infrastructure for handling the fee payment and management of all of this? Just from a programming point I can see this being a pain in the ass (not the primary goal), but also if someone on the team wanted to champion this aspect it could be a lot of fun (an interesting problem to code up and make happen).

A (Serg Gulko): Utility token model is perfect for our type of business — execution fees, market data fees, infrastructure fees.

Q (Conflipper): Is there anything XTRD is currently doing to generate more volume on exist into exchanges? I see it’s lower than normal the last few weeks, it’s curious.

A (Serg Gulko): Well, its more-less technical Q&A. It’s not a pump and dump chat room. At least, this is how I see it:)

Q (Thomas): When do you see organic demand for XTRD tokens coming? As in clients need to start buying tokens from the market to use them? Q1 2019?

A (Serg Gulko): This is a good question…. We have several big prospecting clients waiting for a certain part of our services (clearing, specific exchanges). I really want to bring these components to production within the next two or three months. Maybe — earlier

Q (Eric | PARETO, Board of Trustees): Why would those clients want the XTRD token?

A (Serg Gulko): Its simple — our services are paid in XTRD tokens.

Q (Eric | PARETO, Board of Trustees): Exclusively and completely in XTRD? What do you guys do with the XTRD paid back to you?

A (Serg Gulko): In accordance with the plan(we even have a nice explanatory video with this idea) — tokens will be circling back to the ecosystem. Eric, one of our goals is to prove that the utility tokens model is working. Ecosystem, services, business model — there are integral parts of XTRD.

Q (FelizNavidad): Hey Serg, nice to see you doing AMA. I got a question but it’s not focused on the tech part. 7 months ago you raised 30+ Millions but personally I don’t understand why you asked for so much money. Did you do it because you saw money poping out everywhere around you or you actually had a plan for them?

A (Serg Gulko): Feliz, I strongly suggest you back to the Whitepaper:) We are not the project that acts as a vacuum cleaner

Q (FelizNavidad): If you had a plan for all these money it means you sold the ETH raised for fiat, right?

A (Serg Gulko): Nop.

Q (FelizNavidad): Why?

A (Serg Gulko): Most of the money was collected to facilitate liquidity projects. Of course, part of it will be used to run actual business operations (pay for infrastructure, salaries etc) but, again, we need crypto assets, not USD for liquidity. Guys, I know that I might sound strange, but I’m truly a crypto believer. No panic sales from our side. We know where everything is going.

Q (FelizNavidad): Do you still have money to pay salaries, infrastructure, networking presence etc? And for how long?

A (Serg Gulko): This is not my first company and despite my sometimes idealistic ideas, I have a basic understanding of how to budget things 🙂

Q (FelizNavidad): I’m glad to hear that, but I think it’s a normal question when it comes to transparency. Can you survive another year? 2 years in current market conditions?

A (Serg Gulko): Of course, we will be here! You can’t simply imagine the momentum. It will be very stupid from our side to leave right now. The truly digital assets movement is about to begin and I want to make XTRD is an integral part of it. We are not the people who will run away. It’s my reputation.

Next Q&A session is on November 13, 2018!

XTRD Update: October 31, 2018


  • Product update
  • New York Trading Show recap
  • VOA’s Interview with XTRD CTO Serg Gulko
  • Miami Blockchain Shift Update
  • Weekly CTO Q&A sessions
  • Market Identifier Code

Product update

XTRD Product Update — October 11, 2018: http://bit.ly/2Sqc9ia.

New York Trading Show recap

XTRD took part in New York Trading Show 2018 on September 26, as a speaker and a Bronze sponsor. Here is a short recap with some details on this event: http://bit.ly/2AzmYrs.

VOA’s Interview with XTRD CTO Serg Gulko

XTRD CTO Serg Gulko gave an interview to Voice of America on clearing solutions for digital assets traders. Find the video and English transcript here: http://bit.ly/2CEJWi7.

Miami Blockchain Shift Update

XTRD recently attended the Miami Blockchain Shift conference on October 11–12. Here is the conference update: http://bit.ly/2PVCfYL. XTRD CEO Alex Kravets spoke on a panel with the COO & General Counsel as well as the SVP of Product Development of tZERO regarding Blockchain’s impact on Wall St, a great discussion facilitated by Stephen Obie of Jones Day. Here is the full panel video: http://bit.ly/2Sg9NCm.

Weekly CTO Q&A sessions

Starting from October 30, every Tuesday at 10 AM EST, XTRD CTO Serg Gulko will be running one-hour long Q&A sessions in our Telegram chat. We have prepared a short transcript from the first session. Prepare your questions for next Tuesday and join the discussion.

Market Identifier Code

Serg Gulko submitted the application to ISO 10383 Registration Authority to obtain Market Identifier Code (MIC) for the XTRD order routing system. MIC code is akin to a globally recognized ID for market participants e.g. ECNs (like XTRD) or exchanges. ISO maintains a global registry of all companies around the world and we would like to be a part of this ecosystem.

CTO Q&A Session #1: October 30, 2018

Starting from October 30, every Tuesday at 10 AM EST, XTRD CTO Serg Gulko will be running one-hour long Q&A sessions in Telegram. We have prepared a short transcript from the first session. Prepare your questions for next Tuesday and join the discussion!

Q (Bull Bittrex): How’s development going on DARK, SPA and PRO? When can we expect releases to roll out?

A (Serg): FIX API for trading and market data is live, PRO is under the heavy development and we expect to bring it live by the end of 2018 — beginning of 2019. DARK is still in progress. The main issue to solve is a legal framework. Technologically we’re almost ready.

Q (Bull Bittrex): Beaxy has been getting a lot of exposure and hype as of late can you explain how the partnership with them brings in the tokens?

A (Serg): I’m really happy for Beaxy guys, we chatted briefly a week ago but now they are very busy with conferences and exhibitions. We see Beaxy as one of our routing destinations. Why? Because their infrastructure is built on top of very serious and mature tech stack and they capable to handle serious load.

Q (Bull Bittrex): Can you explain a little more about the ISO you applied for? And how being a vendor in the FIX community works?

A (Serg): MIC code is like a globally recognized ID for market participants e.g. ECNs (like XTRD) or exchanges. ISO maintains a global registry of all companies around the world and we would like to be a part of this ecosystem. We also encourage all exchanges with whom we are working to start the same process. The reason we are in FIX Community is very simple — we are getting a clean, non-biased view what is going on in the industry. Plus, we have access to all FIX Trading Community events (read — networking, clients, etc).

Q (Mike P): I had a look through the token tracker and don’t see much happening other than IDEX and Coinsuper, some random buys and sells, but nothing that looks like, for example, FIX API clients paying for market data or similar. What is happening on this front? Are clients transacting in fiat for the moment, and if so, will XTRD settle that by purchasing tokens on the market as other projects who have yet to build their token settlement interfaces are doing?

A (Serg): Our current clients are initial token sales participants, so they are spending old tokens. Of course, we are working to add new clients to our ecosystem. We agreed to settle balances quarterly with existing clients (it was part of the deal), that’s why you don’t see too much on Etherscan.

Q (Mike P): The Whitepaper is no longer on the website; this makes it pretty much impossible for new folks to get to know what XTRD is all about. Is the paper being updated, or was this an oversight?

A (Serg): We will put much more useful information on the website soon — e.g. more detailed information about FIX routers (including full specs).

Q (fiftynineblake): Will there be reports for the public quarterly as well, or on some other timeframe about number of clients, average daily trading volume, etc.

A (Serg): This is not the information we can disclose publicly due to the NDAs. We usually share it with exchanges.

Q (fiftynineblake): But you’re not bringing to light anyones trading info by being transparent about how many clients you have onboarded, and how the system is being utilized. I think in this space transparency is king, we know you are not bound by anyone here having actual shares, but in my experience teams gain a lot of respect for being open by stating exactly their current treasury holdings (for better or worse), staff numbers and where they are based, number of clients and projections forwards for example.

A (Serg): It has a lot of sense to me! We will have an internal discussion to see how to apply these principles to new clients. But for now we will stick with the existing, traditional play rules.

Q (Matt T): Is XTRD looking at providing FIX services for tZero?

A (Serg): tZero is at least 3–4 months to trade and they will be focusing on security tokens what is really great. We are in good relationships with their team and looking forward to integrating their exchange into our ecosystem once they will be in production.

Q (Matt T): In the future, when the space is more clearly defined and regulated by the SEC and XTRD is highly profitable, would XTRD ever consider changing its token into a security token or some sort of profit sharing token?

A (Serg): To be honest with you, we mainly focused on building a working and sustainable business model right now with right tech stack, clients, vendors, etc. This is priority #1 for me.

Q (Mike P): Would it be possible to see some video updates of some of the new stuff in action, similar to that February video?

A (Serg): Nice one, thank you very much, Mike P:) We will create another video shortly! Real-time market data plus execution:)

Next Q&A session is on November 6, 2018!

Blockchain Shift Conference Update

XTRD recently attended the Miami Blockchain Shift conference on October 11–12. The conference’s focus was on emerging distributed ledger technology and the paradigm shift that will evolve traditional economies, with senior legal, finance, government, emerging markets, institutional traders, and fintech infrastructure leaders in attendance.

XTRD was one of the sponsors and were represented by XTRD CEO Alex Kravets and Serg Gulko, XTRD CTO. Through direct booth contact and networking events, they interacted with many traditional players in the fintech space with an interest in trading digital assets as well as though leaders with unique perspectives on the subject. We are happy to say that high quality connections were made, as a result several potential partnerships are in the works. The conference was a great venue to showcase the XTRD brand!

Alex Kravets spoke on a panel with the COO & General Counsel as well as the SVP of Product Development of tZERO regarding Blockchain’s impact on Wall St, a great discussion facilitated by Stephen Obie of Jones Day.

Blockchain’s Impact on Wall Street — The Efficient and Compliant Frontier

Stephen J. Obie, Partner, Jones Day
Ralph Daiuto, Jr., COO & General Counsel, tZERO
Alexander Kravets, Co-Founder and CEO, XTRD
Nariman Noursalehi, Senior Vice President of Product Development, tZero

Full panel video can be found here on the XTRD YouTube page.

XTRD is working on product, additional exchange integration, and new initiatives. The landscape is changing with custodial solutions, and the real players are just around the corner.

Interview Voice of America — Clearing solutions for digital assets traders

Boris: It was a very active trading day, Bitcoin price went up to $7200 but retreated back to the $6600 level. There are two news items that impacted the price. First is that the American institution Fidelity with its branch Fidelity Investments started working with cryptocurrencies. And the second positive item is that one of the American exchanges — Coinbase — opened an office in Dublin to compensate for possible problems caused by Brexit. Their main European office will remain in London but in order to support their expansion, they opened a new office in Dublin.

To understand, which of these news items is more important and has a longer-term impact we invited our old friend, Serg Gulko from XTRD.

Boris: Let’s try to compare which one of these two news items have a larger long-term impact on digital assets trading?

Sergii: Hello, Boris! First of all, I would like to comment on yesterday’s rally on the market. It happened because people tried to get rid of Tether. Several companies decided to “exit” back to Bitcoin, Ethereum, or any other asset. But the end goal was to have a zero Tether balance.

Regarding your question — we believe that the most impactful thing is the Fidelity announcement. I’m not very optimistic about the Coinbase move, because the current volume distribution clearly says that the United States is the biggest and most lucrative market.

Boris: Maybe they are trying to expand an existing business? Thing is that the article I found on Reuters says that the European market is growing very fast.

Sergii: Well, in Europe Coinbase will compete with HitBTC, BitStamp, and CEX.IO and I wish them good luck! Ironically, most of the exchanges I mentioned are trying to get into the US market. Why? Because the money is here.

Boris: Ok, let’s go back to Fidelity. How important is what they are doing in the scope of attracting more investors from Wall St into digital asset trading?

Sergii: This is very important! We are speaking about clearing for the last three or four months and now, finally, it’s happening. Players start to see a difference between custody and clearing. Basically, Fidelity is going to provide clearing services. Very likely that right now, at this moment, it’s an advertisement rather than an actual solution.

For example, our company XTRD is working with two traditional clearinghouses from the FX world. We are building a pilot project which involves clearinghouse, several exchanges, and XTRD as an intermediary. Our partners are no less reputable than Fidelity, but they decided to build the mechanism first and only after — make an announcement.

In general, Fidelity’s move is the next logical step. Once the industry will have rock-solid clearing we will definitely see big institutional players.