SAN FRANCISCO–(BUSINESS WIRE)–SFOX, a digital asset prime dealer that unites liquidity from 30+ global exchanges and OTC desks in one platform to power trading at scale, announced today that it has now matched, executed, and cleared the first-ever crypto NDF contract between B2C2 and an undisclosed financial institution over its multi-dealer network. This milestone for the cryptocurrency market, which cleared on Friday, Feb 4, 2022, establishes SFOX as the first platform to intermediate between a buyer and a seller in the crypto NDF market as well as the first multi-dealer platform to execute an NDF trade.
“We are thrilled that SFOX is the first central intermediary to an NDF crypto contract transaction. SFOX is unique in its ability to match, execute, and clear the new crypto derivative contract over its multi-dealer network. This marks a milestone in crypto’s acceptance by mainstream financial institutions,” said Robert Catalanello, Co-CEO of B2C2.
“SFOX has created a digital nexus for financial institutions to access connectivity to the deepest pools of crypto liquidity including our newly launched crypto NDF orderbook,” said Shawn Egger, Global Head of Execution at SFOX.
In January, SFOX joined ISDA, the International Swaps and Derivatives Association, as the third native cryptocurrency company, signifying the company’s commitment to advancing the transparency, safety, and efficiency of the global cryptocurrency derivatives marketplace.
“NDFs are the first derivatives instrument for SFOX, and we have a robust plan to launch a full suite of derivatives and DeFi products in 2022. This is just the beginning,” said George Melika, SFOX CEO and co-founder.
A non-deliverable forward (NDF) is a cash-settled, and usually short-term, forward contract. Crypto NDFs permit banks and other highly regulated financial institutions to gain exposure to the $3 trillion crypto markets until greater regulatory clarity is provided for such institutions to trade in the underlying crypto instruments. SFOX, a native crypto spot participant and prime dealer, is establishing an ecosystem where buyers and sellers can match their interests either on a fully disclosed basis or anonymously both in spot and derivatives.
Chris Dick, Senior Quantitative Trader for B2C2, added, “As the leader in true principal at risk liquidity provision in the crypto market we look forward to working with SFOX to help institutional investors access our global liquidity and grow the asset class.”
SFOX is one of the largest independent prime crypto dealers, and unlike most others, it provides best price execution for all financial institutions, hedge funds, and institutional investors. SFOX’s deep global liquidity powers reduced slippage, price improvement, speed and scale. This clearing of the first-ever crypto NDF contract paves the way for SFOX’s non-retail clientele seeking crypto exposure on a cash settled basis. SFOX’s customers include a range of institutional investors including hedge funds, traders, financial advisors and other financial institutions. SFOX’s developers and executives come from companies such as Airbnb, Apple, Goldman Sachs, Citadel, Google, NASA, Gemini, Capital Group, ITG, and State Street.
SFOX is a full-service prime dealer uniting liquidity from over 30 exchanges and OTC desks in one easy-to-manage platform. Its smart order router algorithmically routes traders to the most competitive prices worldwide, reducing slippage and improving trade performance across immense scale. SFOX’s platform provides traders with best execution services from a single account, a single counterparty, and a single workflow — giving trades greater capital efficiency.
SFOX is committed to the highest standards of investor protection and reliability. The platform is SOC 2 certified and open 24/7 with 99.99% uptime. Founded in 2014, the company is backed by Social Capital, Digital Currency Group, Khosla Ventures, Tribe Capital, DHVC, Haystack, Sequoia, Blockchain Capital, Y Combinator, and executives from PayPal and Airbnb. To learn more, visit www.sfox.com.