Itiviti has announced exclusively to Finance Magnates that it has expanded its partnership with Diginex, a digital asset financial services and advisory company, in which the latter will implement Itiviti’s Tbricks automated solution.
Diginex has selected Tbricks to provide risk, P&L and portfolio management to its institutional client base. In particular, the company will be using Tbricks to launch Diginex Access, which is a multi-venue trading, portfolio and risk management for digital assets, which will be powered by Tbricks automation technology.
Today’s announcement builds on an already existing collaboration between the two companies. Already, the digital asset company uses Itiviti’s NYFIX, a global FIX-based order routing network. Through NYFIX, Diginex is able to provide connectivity to its institutional investors who want to have exposure to digital assets in their portfolio.
COVID-19 magnifies the importance of risk management
Following this development, Finance Magnates spoke with Bobby Rahman, Head of Strategic Partnerships at Itiviti. As part of our interview, we asked if this partnership had been influenced by the COVID-19 pandemic, which has magnified the importance of risk management.
“The COVID-19 pandemic has presented unprecedented market conditions requiring firms to reassess their risk management frameworks,” Rahman told Finance Magnates. “Our partnership with Diginex is centered around P&L, risk and portfolio management and given increased scrutiny in this space, the need for robust and scalable technology solutions is ever more important.”
With this in mind, as well as the need for reliable infrastructure in the institutional crypto space, will Itiviti, a leading technology and service provider to financial institutions, continue to create industry partnerships like the one announced today? According to Rahman, who has more than 17 years’ experience spanning across investment banking, hedge fund and the fintech space, the answer is yes.
“Itiviti continues to establish strategic partnerships across the capital markets ecosystem. As an industry, we are at an inflection point where participants now seek greater choice and flexibility when building technology solutions.
“By partnering with like-minded firms who are using cutting edge technologies, we can accelerate the delivery of best in class solutions that seamlessly inter-operate within a modern technology platform.”
Itiviti sees growth in institutional crypto
In the company’s statement seen by Finance Magnates the tech provider said that the expanded partnership announced this Thursday was the result of the institutional demand in digital assets. When asked whether Itiviti has seen this demand first-hand, Rahman outlined the following.
“We provide solutions to a broad universe of customers who trade a wide variety of asset classes. We continue to see interest in crypto currencies from existing customers and new prospects who are incorporating digital assets in their trading strategies.
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“Over the last year, we have added several cryptocurrency venues to NYFIX, Itiviti’s global FIX-based order routing network, to provide seamless access and integrated solutions for institutional investors.”
Furthermore, Rahman went on to detail that the institutional currency space, which has seen a lot of growth, also provides many opportunities for innovation for the company.
“At Itiviti, we have significant experience providing multi-asset solutions to institutional customers. Participation by institutions in crypto currencies is on the increase and therefore, we see this as a growth area in which we can innovate and differentiate,” he said.
Itiviti’s place in institutional crypto
With the technology and solutions provider expanding its presence in the institutional cryptocurrency space, how does Itiviti plan on positioning itself within this market?
“We have a track record of providing institutional-grade solutions to customers in traditional asset classes,” commented Rahman. “As the crypto currency market structure matures and participants seek more robust, enterprise and compliant solutions, we are a natural choice since our open-architecture technology is modern and asset class agnostic.
“As other providers often operate inflexible platforms built on legacy technology, with less institutional experience, we are fast becoming the de facto platform of choice for the crypto community.”
As part of this, what specific products is the company developing based on user requests? According to Rahman, its automation platform, Tbricks was developed for this reason.
“Tbricks, is asset-class agnostic and covers a wide range of trading workflows. With our open-architecture, customers can leverage off the shelf APPs and/or build bespoke solutions to meet their specific requirements. We continuously review our standard library of APPs to ensure they evolve to meet changing market conditions and customer needs,” he elaborated.
Custody and security in digital assets
The partnership announced today, focuses on the institutional trading space of cryptocurrencies and digital assets. For institutional crypto traders, custody and security have been a major matter of concern.
Because of this, we asked Rahman to expand on the security measures on Itiviti’s platform and whether the financial technology provider offers custody options for its users.
“At Itiviti, we are very familiar with the needs of institutional clients when it comes to physical and logical security,” Rahman explained. “The Tbricks automation platform has a proven cross asset security framework which enables our customers to manage access to data in line with their internal policies. Itiviti does not provide custodial services, however, Diginex provides institutional investors with solutions that make digital asset storage simple and secure.”