Kraken has integrated a new fiat funding service, the company announced to its customers in an email. As an extension of their existing relationship, Kraken account holders can now trade via third-party instruction to Etana. Existing and new clients can gain access to a greater choice of execution tools and platforms. This new workflow has led to a first of its kind trade.
Using Seabury Global Markets as its messaging and order routing gateway, Kraken and Etana clients can now utilize platforms previously not available to them. The combined technology, trade and settlement solution made it possible for a physical crypto-for-fiat trade to take place in real time on MT4/5 and settle by client instruction at a third party.
SGM acted as technology vendor connecting Kraken pricing to Garlic Capital Corporation for use with their MT4/5 and then for delivery of post-trade settlement instructions to Etana. The trade was consummated at Kraken.
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Garlic, a client of both Etana and Kraken, used a non-tokenized workflow reminiscent of traditional FX workflow to settle the trade.
Commenting to Finance Magnates, the CEO of Etana, Brandon Russell said: “The transaction was frictionless as all assets, both Fiat and digital, were pre-funded and held by our partner banks and wallet providers.”
“We see this as an opportunity for our MT4 clients to seamlessly offer crypto to their end users and to provide additional volumes to exchanges within the Etana ecosystem, all while keeping client assets safe in a secure environment,” elaborated Russell.
The President & CEO of Seabury Global Markets, Rob Fleschler added: “This is an important development for the buy side as it allows clients to select their own execution tools & methodology, combined with the use of a neutral third party for settlement yet able to continue to deal with one of the most established exchanges providing pricing and finality of trade.”