TP ICAP Receives FCA Certification For Institutional Crypto Services

The UK’s Financial Conduct Authority (FCA) has given the capital markets company TP ICAP permission to sign up as a crypto asset exchange provider.

Fusion Digital Assets, TP ICAP’s new exchange, will use Fusion, the company’s electronic OTC platform, to give clients access to a non-custodial crypto asset exchange for matching orders and executing trades. The new place to trade for the interdealer broker will only be for institutional clients.

The new business will also work with Fidelity Digital Assets to keep clients’ assets safe and provide settlement services. The platform will have a wide range of Liquidity from trusted market makers worldwide.

Duncan Trenholme, co-head of digital assets at TP ICAP Group, said that the wholesale crypto market “lacked the credible infrastructure and assurance necessary for the firm’s traditional client base to allocate capital.”

Institutional players are aware of the firm’s separate model, track record of running venues, and ability to distribute, said Trenholme.

Even though crypto is going down right now, Trenholme said that blockchain technology would turn traditional asset classes into tokens. “This will result in a more efficient, automated, and risk-mitigated trading and settlement process for financial markets,” he added.

The business is committed to a model with multiple custody. The company will work closely with several custodians to give its clients custody services that are both separate and compatible. Over the next few years, custodians will be added based on demand and order of importance.