In this column on February 10 I bemoaned the lack of risk takers in markets, noting that the surge in passive investing in equities markets meant that inevitably the market swings, especially during corrections, will be wild. The last week has kind of highlighted what I meant, it is to be hoped that CTAs and […]
Talk to any service provider – the customer is at the centre of everything they do. I am, therefore, a little confused, or perhaps fearful for those pushing this line, by some of the data in the latest turnover survey by the UK’s FX Joint Standing Committee (JSC). Of course, at the same time as […]
Not for the first time I have been copping some flak over a previous column, although, again, I have to say there was some support for my views on the lack of risk taking and its potential impact on the platform market. So, as I like to do when faced with opposition for my views, […]
In this Profit & Loss video interview Jay Moore, CEO of FX HedgePool, says that peer-to-peer FX trading remains an attractive prospect for buy side firms and explains why previous attempts to make it a reality haven’t worked. Noting that peer-to-peer FX trading is hardly a new concept, Moore says that buy side firms have […]
Colin Lambert muses on the broader significance of the latest BIS number for the FX industry as a whole. However the number was arrived at, the FX market will, for the next three years at least, be known as a $6.6 trillion market – reinforcing its position as the largest financial market in the world. […]
There have been numerous attempts in the past to create buy side to buy side matching pools for FX, with very limited success. FX HedgePool is the latest venture seeking to do this and, as the company edges towards launch, Galen Stops takes a look at what it is doing differently. In April, Profit & […]
Dash, an open source, peer-to-peer cryptocurrency that launched in early 2014 as a fork of the Bitcoin software, is aiming to shift its image from being known initially as ‘the privacy coin’, by redefining its benefits as a payments-oriented network with a new release on the way. CEO of Dash Core Group, Ryan Taylor, talks to P&L about what’s coming up for the altcoin in 2018.
Profit & Loss: With something like 2,000 cryptocurrencies currently available, how does dash differentiate itself?
Ryan Taylor: Dash has a long history of being one of the more innovative coins
Michael Oved, co-founder of AirSwap, met with Profit & Loss to discuss his vision for the potential of a decentralised trading platform based on the Ethereum blockchain. Previously an algo trader at Virtu Financial, Oved explains how he took lessons from the FX market and applied them to crypto trading to create a peer-to-peer platform.
Profit & Loss: AirSwap was designed around an Indexer, which acts as a search engine, matching up buyers and sellers, rather than using an order book model. With your background as an algo trader at Virtu Financial, did you look to the FX market for ideas when developing AirSwap?
Paul Aston, CEO of Tixall Global Advisors, discusses the feasibility of peer-to-peer FX matching between large buy-side firms.
One of the long-standing problems with the concept of peer-to-peer matching between buy-side firms is that the probability of being able to actually put together complimentary buyers and sellers is very low. For example, the chances of a large asset manager needing to sell a certain amount of a particular currency at the exact same time that an insurance company needs to buy the same amount of that currency are remote.
Aston refers to the need to “get away from the quantum problem of having to know when something is available in time and level”, and suggests that there needs to be some form of “dark mechanism” whereby these buy-side firms can leave an order without it being exposed to the market, in order to make peer-to-peer trading more feasible.