Institutional digital assets platform Tassat, formerly known as trueDigital, has teamed up with Blockfills, a market maker and aggregator of cryptocurrencies prices to introduce a Trade at Settlement (TAS) product for spot Bitcoin.
TAS is a capability used in traditional derivatives markets that allows traders to enter buy or sell orders during the trading day at a price equal or near to the settlement price for that contract. TAS’s definite bid/offer and trading range helps eliminate slippage in execution and uncertainty commonly surrounding cryptocurrency markets, which is also often accompanied by significantly wider spreads.
Tassat and Blockfills aim to leverage their collaboration to offer deep and reliable liquidity as well as constant, real-time pricing of cryptos to their sophisticated institutional customers.
At the center of this partnership, Blockfills is enlisting Tassat’s Bitcoin reference rates as the source for deriving settlement price at each window. Blockfills already mixtures the most important exchange platforms and liquidity hubs. Further, Blockfills will handle the order flow, matching, execution, and settlement of these trades, utilizing its electronic trading infrastructure.
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More about the offering
The product aggregates the trade flow of these prices during a specific calculation window into a reference rate of the XBT/USD pair. Calculation rules are geared toward real-time replicability in underlying spot markets.
Trader will conveniently submit their block orders on the Blockfills trading platform, which will be then matched based on time priority at each spread level of TAS price-fixing time. As such, clients will save their time and resources as transactions will be settled within 60 minutes from notice of the execution price.
Josh Gibson, Director of Sales at Tassat commented: “TAS provides a way to offset the risk of price movements on their futures positions and/or rebalance the gamma on option positions with no risk of excessive slippage. With the growth of digital asset derivatives, participants of all kinds will need new and efficient ways to hedge their positions.”
Neil Van Huis, Director of Sales and OTC Trading at Blockfills, added: “Our goal at Blockfills is to establish a global digital asset trading and prime brokerage solution to help fuel innovation and institutional adoption of digital assets. This new TAS product will complement our existing offering of digital asset products and we look forward to leveraging on our already well- established partnership with Tassat.”