EDX taps Solidus Labs for transaction monitoring on its Wall Street-backed crypto platform

EDX Markets has partnered with Solidus Labs to provide transaction monitoring across its platform, said the crypto exchange backed by a consortium of major Wall Street firms.

Backed by Citadel, Fidelity, Schwab, Virtu, Sequoia, Paradigm, and others, EDX aims to bring the best of TradFi to crypto markets, namely by offering efficient trading and settlement of digital assets on a purpose-built crypto platform.

As part of the firm’s efforts to provide institutional participants with the best and safest experience in crypto, EDX tapped Solidus Labs for its seamless end-to-end transactional risk management capabilities.

The partnership is intended to maintain the highest compliance standards across the cryptocurrency industry and reflect key institutional best practices.

Solidus Labs’ HALO is currently used to monitor over 250 million events and $16 trillion in on- and off-chain trading volume per day across more than 150 markets, protecting more than 25 million individual and institutional investors.

The trade surveillance and market integrity hub tailored for digital assets features machine learning-powered detection models and a Universal Client Risk Profile tool to identify unusual or suspicious activity and review and coordinate the appropriate risk response.

“Bringing the best of traditional finance to cryptocurrency markets”

Chris Tyrrell, Chief Compliance Officer of EDX, said: “Solidus’ transaction monitoring solution is a powerful addition to EDX’s suite of compliance measures. We are focused on bringing the best of traditional finance to cryptocurrency markets and are committed to ensuring safe and compliant trading. As an industry-leading provider of AML solutions for detection of money laundering and financial crime activities in crypto markets, Solidus will help us protect the integrity of our platform while meeting regulatory expectations and Wall Street-grade best practices.”

Asaf Meir, Founder and Chief Executive Officer at Solidus Labs, commented: “We are proud to support EDX’s vision and meet the demand for a safe and compliant cryptocurrency market. Bridging traditional and digital finance through crypto-native risk mitigation tools is core to our mission, and we look forward to working together with EDX to continually increase the standards for safe and integrity-driven crypto trading.”

EDX offers non-custodial exchange featuring retail-only quotes

EDX has recently gone live with its crypto marketplace built on best practices from traditional finance to provide customers with distinctive benefits including liquidity, competitive quotes, and a non-custodial model designed to mitigate conflicts of interest.

EDX also introduced a retail-only quote to the crypto markets, allowing participants the benefit of better pricing for retail-originated orders. Products listed for trading on EDX include Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC) and Bitcoin Cash (BCH).

The digital asset exchange went live in June and completed an investment round with new equity partners, including Miami International Holdings, DV Crypto, GTS, GSR Markets LTD, and HRT Technology.

Last month, EDX tapped Talos‘ end-to-end trading platform, further enhancing EDX Markets’ capabilities and expanding access to a wide range of liquidity venues for customers. Talos is the first Order and Execution Management System (OEMS) integrated with EDX Markets, providing clients with industry-leading front-end UI and proven trading tools to which institutional investors have become accustomed.

EDX plans to launch EDX Clearing later this year to settle trades matched on EDX Markets. The clearinghouse will facilitate trades against a central counterparty, allowing participants to benefit from enhanced price competition and reduced settlement risks, while increasing operational efficiencies.