Cboe Digital’s settlement service goes live to address critical issue in crypto OTC trading

Rick Steves

“Cboe Digital’s settlement service unifies clearing and settlement across multiple execution pathways driving capital and operational efficiencies for firms choosing to clear and settle with Cboe Digital.”

Cboe Digital has announced the successful clearance of its first trade conducted by Nonco U.S., a subsidiary of one of Latin America’s largest over-the-counter (OTC) providers, and DV Chain, an affiliate of the renowned DV Trading group, known for its cryptocurrency trading and technology services.

This achievement marks the inauguration of Cboe Digital’s Settlement Service, a game-changer in the OTC digital asset market.

Addressing the critical issue of settlement risk in OTC digital asset transactions

Cboe Digital’s Settlement Service is strategically designed to address the critical issue of settlement risk in OTC digital asset transactions. By leveraging the power of Cboe Digital’s U.S. regulated, real-time clearinghouse, this service offers a robust solution that mitigates counterparty risk effectively.

Market participants can access the offering through a standardized API or Cboe Digital’s fully integrated Trading User interface, streamlining the settlement process.

As the industry continues to evolve, Cboe Digital remains at the forefront, delivering solutions that enhance efficiency, mitigate risk, and provide market participants with the tools they need to thrive in this dynamic landscape.

“Cboe Digital’s settlement service unifies clearing and settlement across multiple execution pathways”

Jeff Howard, Managing Director at Nonco, said: “We are thrilled to announce that Nonco and DV Chain cleared their first trade using Cboe Digital. Our first trade, facilitated by Cboe Digital’s settlement service, is a significant milestone for Nonco as the industry evolves, matures and starts to understand the importance of counterparty risk. Nonco was built with this in mind. We give clients the optionality to settle trades how and where they want, mitigating their counter-party risk. This is an important step forward for the industry as central clearing and counter-party risk become more important than ever. As the industry evolves, so does Nonco.”

John Palmer, President of Cboe Digital, commented: “Cboe Digital’s settlement service unifies clearing and settlement across multiple execution pathways driving capital and operational efficiencies for firms choosing to clear and settle with Cboe Digital. We are pleased to provide Nonco markets with an efficient and effective solution for clearing and settlement.”

Dave Vizsolyi, Head Trader at DV Chain, added: “The experience DV Chain has had with Cboe Digital has been exceptional. Beyond how smoothly this recent OTC trade process went, what I appreciate most about trading at Cboe Digital is that by introducing clearing, counterparty risk is mitigated via the clearinghouse.”

Cboe Digital’s successful clearance of the first trade via its Settlement Service marks a pivotal moment in the world of OTC digital asset transactions.

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