Exclusive: 24 Exchange CEO Dmitri Galinov on liquidity aggregation and future plans

“The conversation with Editor-in-Chief Nikolai Isayev took place following the triumphant recognition of 24 Exchange as ‘Exceptional Liquidity Aggregation Provider‘ at the FinanceFeeds Awards 2023.”

24 Exchange revolutionizing liquidity aggregation

24 Exchange’s Galinov began by explaining the core components of 24 Exchange’s liquidity aggregation system. He highlighted the two key pillars: a human liquidity manager and the integration of Standard Chartered Bank as a central dealer on their platform.

The human liquidity manager utilizes sophisticated software to analyze client flows, tailoring liquidity to their specific needs. This ensures optimal execution for each client.

The partnership with Standard Chartered Bank plays a pivotal role in maintaining anonymity. All trades are directed towards Standard Chartered, thereby ensuring pre and post-trade anonymity, a feature that sets 24 Exchange apart from others.

Galinov detailed the genesis of their anonymous liquidity pool, emphasizing their long-standing partnership with Standard Chartered Bank. This partnership was established early on, with Standard Chartered being the first major institutional investor in 24 Exchange. The collaboration involves handling reporting responsibilities across different countries, though participants might also have specific obligations depending on their respective jurisdictions.

24 Exchange innovating in NDFs, FX Swaps, Equities, Crypto

Discussing the challenges and future prospects of NDF (Non-Deliverable Forward) trading, Galinov noted that while competition is expected, the platform’s low cost is a major differentiator. He highlighted that 24 Exchange’s low-cost advantage, coupled with its robust system, has been a driving force in market adoption. Even if competitors attempt to emulate their model, the cost advantage remains a significant hurdle.

Galinov provided insights into the platform’s expansion plans. In 2023, 24 Exchange is focusing on FX swaps and equities.

FX swaps, currently a largely voice-traded market, will benefit from 24 Exchange’s anonymous and immediate execution capabilities. “The FX Swaps market is the largest market in the world, but it trades a lot via voice or via RFQ process. We are the only ECN that’s bringing the true anonymous and streaming immediate execution nature to this market. So that’s, that’s our differentiating advantage. We are bringing something unique to this market, and we have a large number of clients who are very excited about that.”

Additionally, the company is in the process of filing for approval to create a 24/7 stock exchange, which, if approved, would be a groundbreaking development. “Right now there is no exchange that operates in those hours. And if approved by the SEC, then we would be the first exchange in the world that operates 24/7.

Another aspect of their expansion involves growing their crypto NDF market. Galinov expressed enthusiasm for the increasing interest from institutional clients in this sector.

What lies ahead

Galinov emphasized the company’s commitment to continuous improvement based on client feedback. He indicated that with each new release, they integrate features and enhancements that address client needs and preferences. This commitment ensures that 24 Exchange remains at the forefront of innovation in the trading industry.

The interview concluded with a hint that more news is on the horizon from 24 Exchange, hinting at further advancements and developments that will keep the market intrigued.

In a nutshell, the conversation with Dmitri Galinov shed light on 24 Exchange’s innovative approach to liquidity aggregation, its mission to provide cost-effective trading across various asset classes, and its relentless commitment to staying ahead of the curve in the rapidly evolving trading landscape.

With accolades under their belt and ambitious expansion plans ahead, 24 Exchange is undoubtedly a player to watch in the financial markets.