OKX, Komainu, and CoinShares have partnered to revolutionize institutional crypto trading. This collaboration is aimed at accelerating the adoption of digital assets by institutions. The partnership ensures round-the-clock trading of segregated assets with robust security measures and reduced counterparty risks.
Partnership Details
According to a November 15 press release, CoinShares will actively trade on the OKX exchange with Komainu overseeing the secure storage of collateral assets. This move enhances the appeal of digital assets for institutional traders and brings transparency and clarity to the ecosystem.
Lennix Lai, Global Chief Commercial Officer at OKX, believes that this innovative solution will drive institutional capital into the crypto markets. He stated that working with Komainu and CoinShares will mitigate counterparty risk while maximizing upside for traders.
Addressing Counterparty Risk
Institutional investors face significant challenges when entering the crypto markets, with counterparty risk being a major concern. Lewis Fellas, Head of Hedge Fund Solutions at CoinShares, emphasized the importance of addressing this concern as they prepare for true institutional participation in crypto markets.
The partnership aims to tackle this challenge by implementing a robust legal structure and processes that mitigate counterparty risk while facilitating high-volume trading.
OKX’s Partnership with Komainu
The partnership builds upon OKX’s previous collaboration with Komainu in June 2023 when they joined the Komainu Connect platform. Founded in April 2023, Komainu Connect aims to minimize client counterparty risk by eliminating the necessity of storing collateral with trading counterparts.
Nicolas Bertrand, CEO at Komainu, expressed his satisfaction with the collaboration, describing it as a significant step forward in their mission to provide digital asset custody solutions.
Hot Take: Revolutionizing Institutional Crypto Trading
The partnership between OKX, Komainu, and CoinShares marks a significant milestone in accelerating institutional adoption of digital assets. This alliance not only ensures robust security measures but also mitigates counterparty risks for institutional traders, ultimately driving more capital into the crypto markets.
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