EDX Markets Chooses Anchorage Digital As Custody Provider For New Settlement Business

Key Points:

• EDX Markets teams up with Anchorage Digital for smoother trade settlements and enhanced efficiency in its new clearinghouse division, EDX Clearing.
• Anchorage Digital’s secure custody solutions strengthen EDX’s unique intermediary-based approach to asset transactions.
• The partnership bridges traditional finance and digital assets, reinforcing secure trading for EDX exchange members.

EDX Markets has chosen Anchorage Digital as the custody provider for its novel settlement venture, EDX Clearing. The innovative clearinghouse, an integral part of the institutional crypto exchange, seeks to enhance trade settlement processes and operational efficacy.

EDX Markets, inaugurated in June 2023 with substantial backing from financial giants like Citadel Securities, Fidelity Investments, and Charles Schwab, stands apart from conventional crypto exchanges.

Unlike others, it employs financial intermediaries for asset transactions instead of holding customers’ assets directly.

By collaborating with Anchorage Digital, a distinguished regulated crypto platform renowned for its financial solutions for institutions, EDX Markets aims to unify the traditional finance framework with the burgeoning digital asset realm.

The impending EDX Clearing initiative focuses on streamlining trade settlements conducted on the principal EDX platform. This consolidation is anticipated to amplify capital and operational efficiency within the exchange.

The role of Anchorage Digital Bank as the custodial entity for traded assets provides a secure foundation for EDX exchange members.

A clearinghouse, a financial mediator facilitating trade settlement between parties, plays a pivotal role across various markets, including stocks, bonds, and derivatives.

Its paramount functions encompass ensuring seamless trade execution and mitigating potential losses from unmet obligations.

EDX Clearing, utilizing Anchorage Digital Bank’s secure custody infrastructure, will provide a consolidated settlement process.

This offering guarantees capital and operational efficiency improvements and furnishes EDX clients with the confidence to engage in secure trading activities on the exchange.

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