Anchorage Spearheads Crypto Custody Exchange Network to Enhance Trading, Liquidity

Institutional crypto custody firm Anchorage along with other global crypto companies have formed a custody-exchange network in a bid to improve the crypto marketplaces for investors.

The custody-exchange network seeks to promote a more fair market structure, no pre-funding needed, and safe participation via maintain custody with Anchorage.

When talking to exchanges, liquidity providers and custodians, the goal was to build a safer and segregated institutional custody vault, according to Diogo Monica, cofounder and president of Anchorage. There’s no conflict of interest between the institution that holds custody over one’s assets and the institution that executing the exchange, Monica told CoinDesk.

“We actually genuinely believe it’s a better market structure going forward and answers a lot of the questions that regulators have had,” Monica said.

Crypto exchange Binance.US is part of the new network, while Anchorage has commitments from CoinList, Blockchain.com, Strix Leviathan, and Wintermute, according to a statement.

“As the American digital asset industry continues to mature, there is growing demand from institutions for custody, liquidity, and enhanced market access,” Binance.US CEO Brian Shroder said in the statement. “By combining the advanced security of Anchorage with the best-in-class exchange technology of Binance.US, this integration eliminates multiple pain points to institutional trading, and marks a major milestone in the evolution of digital asset infrastructure.”

In March, Anchorage joined the Alternative Investment Management Association (AIMA), a policy group for the fund management industry with over 2,000 members including most of the world’s hedge funds.

Read more: Here’s Why Crypto Custodian Anchorage Joined an Alternative Investment Association