The push to attract institutions to the digital assets space has been boosted by news that Icap, part of inter-dealer broking firm TP-Icap, has launched a digital asset markets venture, which will initially operate in the crypto-asset derivatives space.
The business has been launched in London, with regional desks in Asia and the US to follow, the firm says, offering clients global coverage. Initially, Icap Digital Asset Markets will provide clients with OTC liquidity in the CME Bitcoin future, with plans to provide OTC liquidity in a bitcoin non-deliverable forwards.
“We have been closely monitoring the development of this emergent asset class and recognise the transformational effect that the underlying technology could have on our industry,” Frits Vogels, CEO TP-Icap EMEA, says. “While this marks our first step into the asset class, we believe that cryptoassets are only a subset of a wider universe of digital assets that could be created through the use of this technology, and that the tokenisation of value could have application across multiple traditional asset classes.”
The firm says it is seeking to identify digital asset opportunities and the group is exploring how its global network of trading venues and data services can provide institutional solutions to clients looking to operate within this emergent asset class.