Institutional digital assets platform Tassat, formerly known as trueDigital, has teamed up with trading software provider AlgoTrader in the run up to its launch of cryptocurrency derivatives.
The deal will see Tassat provided access to AlgoTrader’s institutional clients for the planned derivatives instruments. Meanwhile, those clients will benefit from being able to incorporate the products in their trading strategies, according to an announcement from AlgoTrader on Thursday.
The first of these derivatives will be “physically-deliverable, margined bitcoin swaps available for institutional investors, brokers and other eligible contract participants.” While a firm date wasn’t provided, Tassat said in a rebranding announcement on Sept. 3 that the launch is “imminent.”
Michel Finzi, chief commercial officer at Tassat, commented on the new relationship, saying:
“We pick our partners thoughtfully and focus on those who align with our philosophy to serve the institutional crypto marketplace. AlgoTrader has a unique service delivery model, offers clients more control and flexibility and most importantly, has a singular mission to create a high-impact trading experience.”
New York-based Tassat first revealed it would offer bitcoin derivatives to U.S. investors in July, and it’s now it’s waiting for approval from the Commodity Futures Trading Commission before it can move to a launch. The firm has previously said it will add instruments for other cryptocurrencies later.
It will face competition in the U.S. from both ICE’s Bakkt, which has physically delivered bitcoin futures coming on Sept. 23, and Seed CX, which, too, is awaiting regulator approval for its bitcoin forwards. There’s also LedgerX, which launched a bitcoin derivatives offering in October 2017.
Tassat also provides a regulated exchange platform and OTC reference rates for bitcoin and ether. It notably built a blockchain payments system for the crypto-friendly Signature Bank, launched last December.
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