Digital asset exchange operator Seed CX announced on Thursday that it is connecting QCP Capital, a digital asset investment company based in Singapore, to its trading platform.
“Seed CX’s mission is to be the preferred trading venue for leading institutions across the world,” said Edward Woodford, the exchange operator’s co-founder and CEO. “Our connecting with groups like QCP Capital is a further sign that we are building an exchange that is attractive to top-tier trading firms and order flow throughout the world.”
According to a statement released by Seed CX, the deal will be beneficial for both Asian and US digital asset investors.
On the one hand, investors in Singapore that use QCP Capital’s services will have access to a licensed and regulated exchange – something that’s not to be sniffed at in the wild west world of cryptocurrency.
On the other hand, investors in the US will have greater access to liquidity and order flow from the blooming Asian digital asset trading market.
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“Singapore is the Asian hub for digital asset investors, and we see Seed CX as the perfect partner for both QCP Capital and our clientele,” said Darius Sit, Managing Partner at QCP Capital. “We expect our client base to see significant benefits from trading digital assets on Seed CX.”
Seed CX Derivatives
In line with its efforts to create an institutional digital asset exchange, Seed CX is attempting to create cryptocurrency derivatives.
“Derivatives offer great flexibility, giving investors a capital-efficient way to take positions to hedge risks,” said Woodford. “That’s what top digital-asset trading firms like QCP demand, and we are currently working with regulators on launching these derivative products.”
Though it already has a license from the Commodity Futures Trading Commission, Seed CX is still in the process of building a marketplace for its derivatives products.
Appetite for such products, notably cryptocurrency futures, has grown in recent weeks after the price of Bitcoin plummeted in mid-November.