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New Arkham Derivatives Exchange Will Be Launched Next Month

Key Points:

Arkham derivatives exchange will be launched next month, targeting retail investors but it won’t be open to U.S. investors.
The exchange is backed by notable investors such as OpenAI’s Sam Altman and Binance Labs.

According to Bloomberg, Arkham Intelligence, a blockchain data analytics firm, is scheduled to launch a cryptocurrency derivatives exchange next month.

Arkham Derivatives Exchange to Be Launched in the Dominican Republic

The new Arkham derivatives exchange, aimed at retail investors, would compete directly with the largest crypto exchanges, such as Binance. However, it will not be able to serve U.S. investors due to regulatory constraints. It intends to get licensing via free-trade zones of the Dominican Republic, which offer tax exemptions and fiscal incentives.

Backers of Arkham derivatives exchange include Bedrock, Draper Associates, Binance Labs and Sam Altman, the co-founder of OpenAI. It will locate the company and its new exchange in Punta Cana, Dominican Republic, relocating operations from London and New York.

The exchange opens at a time when the cryptocurrency market is mired in a sea of change, with Binance’s share of derivatives trading at a four-year low. That positions Arkham for big gains from those changes in the wake of other large players coming under fresh regulatory scrutiny and the implosion of FTX.

Arkham to Leverage 880,000 Users in Run-up to New Trading Platform

In the last year, Arkham has developed in-house the technology for its platform and has been in discussions with Middle East investors to raise as much as $100 million to help finance its expansion. Currently operating an 880,000-strong active monthly user blockchain analytics platform, it’s a base it hopes will help drive early adoption of its new exchange.

Along with its tech developments, Arkham invested in raising its profile. In July, the company signed a $2 million per-season sponsorship deal with Turkish football club Galatasaray, which slaps its logo front and centre on players’ jerseys for the next two seasons.

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Harold

With a passion for untangling the complexities of the financial world, I've spent over four years in financial journalism, covering everything from traditional equities to the cutting edge of venture capital. "The financial markets are a fascinating puzzle," I often say, "and I love helping people make sense of them." That's what drives me to bring clear and insightful financial journalism to the readers of Coincu.