FTX sets sight on the US crypto derivatives market

The US subsidiary of cryptocurrency speech FTX has announced it is moving connected an acquisition woody for integer currency futures and options speech LedgerX

FTX.US, an affiliate of the Hong Kong-based crypto derivatives speech FTX, has bought Ledger Holdings. The second is the genitor institution of LedgerX — the fashionable US-based level for trading integer plus derivatives. FTX US made the announcement yesterday arsenic it looks to diversify into the derivatives sector.

LedgerX operates arsenic a designated declaration market, swap execution installation and clearinghouse. It is the archetypal approved integer assets derivatives level successful the US and is regulated by the Commodity Futures Trading Commission (CFTC). The level has reportedly cleared implicit 10 cardinal crypto options and swap contracts for the 4 years it has been up and running.

The woody whitethorn beryllium completed successful October 2021 astatine an undisclosed sum according to reports. More fiscal details astir the acquisition are, however, yet to beryllium released arsenic of writing. The woody appears to beryllium a perchance immense 1 for FTX and, if successfully inked, volition let FTX.US to adhd futures and options to its database of offerings successful the US.

LedgerX doesn't person a wide scope of products with its superior absorption connected futures contracts, options, and swaps connected Bitcoin and Ethereum. By sealing the deal, FTX.US volition beryllium amended positioned to pit itself against different US speech platforms, including NASDAQ-listed Coinbase and Gemini.

Regarding the acquisition, FTX.US CEO Brett Harrison noted, "This acquisition marks a important milestone for our rapidly increasing US concern and is simply a cardinal portion of our strategy to bring regulated crypto derivatives to our US idiosyncratic base. We judge the integration of our technological capabilities, merchandise portfolio, and ample equilibrium expanse with LedgerX volition heighten our quality to supply innovative products to each US cryptocurrency traders."

Harrison described the woody arsenic ideal, explaining it was wrong the exchange's [FTX] wheelhouse. The recently formed entity featuring some sides volition cater to retail arsenic good arsenic organization clients. He asserted that the program was to proceed with LedgerX's existing businesses arsenic FTX.US works connected the astir due mode to follow LedgerX's regulated futures and options offerings nether it.

The speech volition besides beryllium looking to guarantee the bully narration with regulators stays intact, arsenic noted successful the release. To that end, it volition allocate a immense fraction of its resources towards maintaining a bully rapport with regulatory authorities successful the US, peculiarly the CFTC.