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Coinbase Derivatives and Talos Forge Alliance to Boost Institutional Crypto Trading

source-logo  financemagnates.com 02 April 2024 15:03, UTC

Talos, a provider of institutional trading technology for digital assets, has partnered with Coinbase Derivatives, LLC, to expand the platforms available for institutional investors seeking to invest in digital assets within a regulated framework. The integration of Talos with Coinbase Derivatives enables investors to access a regulated futures exchange offering Bitcoin and ether futures contracts.

According to the press release, these contracts, sized at 1 Bitcoin and 10 ether, cater specifically to the needs of institutional investors. They provide a capital-efficient tool for managing crypto market exposure without the complexities of direct asset custody.

Daniel Packham, the VP and Head of Operations for EMEA at Talos, mentioned: "The derivatives markets are a significant component of the digital assets ecosystem for institutions who seek secure, liquid, and increasingly regulated venues for trading. We have seen a lot of interest and growth in our derivatives business, and our integration with Coinbase Derivatives will expand the universe of regulated futures that clients can access using the Talos platform."

Besides that, Coinbase Derivatives offers nano-sized contracts tailored for retail investors to allow for more accessible participation in crypto derivatives trading. Talos' clients can leverage the liquidity of Coinbase Derivatives' futures contracts through algorithms, including Talos's Multileg algorithm, which facilitates the implementation of trading strategies.

Talos provides the technology supporting digital assets for institutional investors. From liquidity sourcing to settlement and portfolio management, Talos' platform connects institutions to key participants in the digital asset space.

Last year, Coinbase Derivatives Exchange introduced Bitcoin and ether futures contracts. These futures are accessible through third-party institutional Futures Commission Merchants and brokers. This step signified the efforts by the crypto exchange to meet the growing demand for crypto futures among investors.