SDX and RULEMATCH have joined forces to offer a comprehensive institutional-level solution for banks and financial institutions. This partnership, based in Switzerland, signifies the maturation of the crypto market, focusing on efficiency, security, and compliance.
Institutions can now trade on the RULEMATCH platform with post-trade clearing and settlement, eliminating the need to pre-fund their trading activities. With the integrated solution from SDX and RULEMATCH, they can hold crypto assets securely in SDX custody and manage clearing collateral easily on a dedicated SDX account. This integration removes the need to hold collateral at the trading venue, resulting in a seamless and secure solution. Investors will also be able to increase their crypto collateral positions within seconds, avoiding the long delays often associated with traditional on-chain transactions. The integrated solution, combining SDX custody services with RULEMATCH’s trading and settlement platform, will be available from the fourth quarter of 2024.
David Newns, Head of SIX Digital Exchange, emphasized the significance of this partnership, stating, “The digital asset space has been hindered by concerns regarding speed, compliance, and fragmentation. Our partnership with RULEMATCH tackles these issues head-on by providing transparency, capital efficiency, and most importantly, a clear separation of trading and custody functions. This means that institutional investors, through SDX custody, will maintain full control of their collateral and be able to separate assets into crypto addresses, ensuring clarity on the location of assets at all times. As part of SIX, a trusted provider of global financial infrastructure, SDX continues to uphold the highest security and compliance standards for institutional investors.”
David Riegelnig, CEO of RULEMATCH, added, “We have always believed that separating the roles of trading and custody is key to supporting financial institutions in the digital asset space. As a pure marketplace operator, RULEMATCH is excited to collaborate with SDX and integrate its custody services into our trading and settlement platform. We know from our participants that many of them would like to use a secure, independent custodian like SDX to manage the entire life cycle of their crypto asset holdings while leveraging the competitive advantages of trading and settlement on RULEMATCH. Thanks to our partnership, they can do just that.”
SDX is a group that operates financial market infrastructures (FMIs) for the issuance, trading, clearing, and custody of digital assets licensed by FINMA, the Swiss Financial Market Supervisory Authority. RULEMATCH is a leading trading venue for crypto and digital assets for financial institutions, operating as a marketplace for spot trading of the most liquid cryptocurrencies against fiat. Both companies are based in Zurich, Switzerland.
Overall, the partnership between SDX and RULEMATCH represents a significant step forward in the institutional crypto trading and custody market, providing a secure and efficient solution for financial institutions looking to navigate the complexities of the digital asset space. This collaboration underscores the growing importance of clear separation of trading and custody functions in ensuring transparency, compliance, and security in the evolving crypto landscape.