FX Hedgepool raises $8 million ahead of FX spot matching service

Rick Steves

The FX spot matching service will serve to further reduce market impact, tracking error, cost transparency and operational inefficiencies for buy-side participants in the foreign exchange market.

FX HedgePool has raised $8 million in Series A funding led by Information Venture Partners (Information VP) to further expand the peer-to-peer matching platform for institutional foreign exchange transactions.

Fidelity International Strategic Ventures (FISV) and NAventures, National Bank of Canada’s corporate venture capital arm, also participated in the fundraiser.

FX HedgePool strives to address market demand by delivering thirty significant product releases annually, inspired by the ‘10X innovation philosophy’ the firm ascribes to.

Such agility includes the design and development of its first platform prototype in just four weeks back in 2019, according to the firm, which added that, over the following 16 weeks, it delivered the minimum viable product that facilitated the first ever live peer-to-peer FX swaps trades in January 2020. The platform then rapidly evolved with new releases every 1 to 2 weeks.

FX HedgePool to launch FX spot matching service

FX HedgePool caters to more than 30 global institutions, including some of the largest asset managers and top-tier banks and has plans to launch an FX spot matching service by year-end to meet growing demand from its expanding community of buy-side participants.

The FX spot matching service will serve to further reduce market impact, tracking error, cost transparency and operational inefficiencies for buy-side participants in the foreign exchange market.

The fundraiser intended to draw investment to accelerate a multi-product strategy that includes the launch of the FXHP Innovation Pool, a community in which leaders in finance collaborate to address industry challenges by pushing the boundaries of technology to revolutionize the world’s largest financial marketplace.

FX HedgePool “brings efficiency, cost savings and better outcomes” to FX

Jay Moore, CEO and Co-Founder of FX HedgePool, said: “Our new partnerships will further strengthen FX HedgePool’s ability to deliver on a shared vision of changing the market for good. We’ve led the market towards peer-to-peer matching, and this investment will allow us to continue innovating to bring efficiency, cost savings and better outcomes for the investment community.”

Dave Unsworth, General Partner at Information VP, commented: “When observing changes in the FX market over the last couple of years, we saw end-investors and buy-side institutions were both affected by ineffective processes that severely impacted fund performance, and the FX market was ripe for change. FX HedgePool has proven its ability to innovate and effect change in the largest capital market in the world. We’re delighted to lead their very first investment round and support them in the next stage of their disruptive journey.”

Michael Sim, Principal at FISV, said: “FX HedgePool’s ability to transform the largest segment of the financial market aligns with our philosophy of bringing efficiency and cost savings to investors across the globe. We look forward to working with the FX HedgePool team on expanding their solutions to an even greater portion of the market.”

FX HedgePool was launched in January 2020 and has since facilitated over $4 trillion in matched foreign exchange trades for dozens of firms.

  • Read this next

    Fintech

    Revolut enables direct transfers from Singapore to Bangladesh and Kenya

    British fintech firm Revolut has broadened its array of services with the introduction of the “Mobile Wallets” feature in Singapore, facilitating direct money transfers to Bangladesh and Kenya.

    Digital Assets

    SBF claims “zero loss” to FTX customers, 100-year sentence is “grotesque”

    Sam Bankman-Fried, the former FTX CEO who was found guilty of fraud charges last year, is facing his sentencing next month. But before that day arrives, he’s making a plea for what he considers a fair shake.

    Digital Assets

    Bitcoin nears $62,000, sparking retail buying frenzy

    Bitcoin dashed past the $61,000 barrier on Wednesday, a peak it hadn’t touched since the waning days of November 2021.

    Market News

    OPEC+ Extension of Oil Output Cut Causes Rally

    The dynamics surrounding crude oil are indeed fascinating, given its unique role as both a globally traded commodity and a vital energy source deeply influenced by the OPEC+ alliance’s decisions.

    Institutional FX

    DKK reports 226% growth in 2023 with eyes on African expansion

    “Our numbers are beginning to show how we are powering, the growth required by emerging markets, and we plan for the success of our strategies to continue to thrive in 2024.”

    Industry News

    ‘WTF’ as in ‘What The Fraud?’, Sumsub’s new podcast on digital fraud

    “We found a lack of informative podcasts talking about digital fraud threats and prevention for business owners. So, we decided to dive in and share our expertise along with industry top minds in the ‘What The Fraud?’ podcast.”

    Digital Assets

    Coin Metrics integrates market data from Cboe Digital

    “We are pleased to work with Coin Metrics and believe that having quality and timely data, and systems to analyze that data, will help crypto markets mature as well as evolve to become a core component of a diversified investment portfolio. We are focused on providing access and solutions to the spot and derivatives crypto market in a way which mirrors an investor’s experience with traditional markets.”

    Fintech

    AU10TIX launches KYB solution to address regulatory requirements

    “Our customers have been requesting a comprehensive KYB solution, because money laundering and fraud have become far too prevalent in the corporate world. Our unified KYB/KYC solution is essential for identifying bad actors and maintaining a safe business environment in 2024.”

    Digital Assets

    Japan Is Rapidly Emerging As A Global Leader In Compliant Crypto Payments

    Japan is often hailed as one of the most forward-thinking nations in the crypto industry, with its government taking a very positive stance on the potential of concepts such as Web3. 

    <