Cinnober and BitGo Collaborate on Crypto

The partnership will enable Cinnober to expand its trading and post-trade platform by integrating BitGo’s wallet and custodial services. The combined technologies are designed to provide end-to-end security, allowing clients to store and transfer digital assets in keeping with industry standards. Cinnober CEO Veronica Augustsson explains that the vendor has expressed interest in the crypto space for many years but that surging client demand was the key driver for developing a “more comprehensive and complete” product for cryptocurrency exchanges.

In response to the growing popularity of digital currencies and in light of client expectations, the offering is designed to withstand increasing market volumes, assist in mitigating outages, monitor market activity, allow for further technological integration and enable exchanges to scale their trading operations.

“The cryptocurrency market has grown significantly in the past few years, and we’ve seen exchanges in this segment struggle with capacity, scalability challenges, and repeated outages,” said Augustsson. “There is an opportunity for Cinnober to support this market with proven trading and surveillance solutions used by established financial markets, and, with BitGo’s secure and reliable wallet and custody services, we can offer a competitive solution with short time to market.”

On release, which is months away, the product functionality will be similar to Cinnober’s mainstream trading and clearing products, featuring additional capabilities for integrating with crypto exchanges’ blockchain technologies. Augustsson says that the latest offering aims to provide a level of trust and integrity to the crypto space, as its founding technology aligns with the wider regulated industry.

“That’s the beauty with using the same [technology] base as we are using for a regulated exchange,” she adds. “If potential clients are applying for a multilateral trading facility license or an exchange license, we are very confident the respective regulators in those countries will deem the system to be compliant. And that’s a crucial thing for us, we don’t want to deliver anything that doesn’t comply with those rules, because this market is built on trust.”