Ledger, best known for cryptocurrency hardware storage devices, is targeting institutions with an open, enterprise-grade trading platform designed to meet their risk management and regulatory requirements.
The Ledger Enterprise Tradelink network, announced Wednesday, has signed up a number of crypto exchange and broker partners including Crypto.com, Bitstamp, Huobi, Uphold, CEX.IO, Wintermute, Coinsquare, NDAX, Damex, Bitazza, Flowdesk and YouHodler.
In the wake of events like last year’s bankruptcy of FTX, firms are looking for transparency and alternatives to having assets held on vertically integrated crypto exchanges. There are also concerns over how market infrastructure will pan out in light of recent lawsuits from U.S. regulators against Binance and Coinbase, said Sebastien Badault, VP Enterprise at Ledger.
“This solution connects custodians, OTC brokers and exchanges, and means you can trade without having funds on the exchange, so it removes that exchange risk,” Badault said in an interview with CoinDesk. “Looking forward, there’s going to be a lot more regulation potentially around being able to distribute your risk, so that aligning fund managers and multiple custodial partners will definitely be a big plus.”
Ledger’s enterprise network is open to multiple custodial partners, such as Komainu (a Nomura-backed group of which Ledger is a member), TetraTrust, Etana, Crypto Garage, Damex and Kryptodian.
Being open to multiple custodial platforms means firms using the new network will not be locked in, Ledger said. Ledger Enterprise also offers real-time tracking of collateral balances and operational status for all participants, with zero transaction fees, according to a press release.
“Ledger’s innovative Trading Operation technology not only heightens security, but also fosters a regulation-friendly landscape for institutional trading,” Crypto.com President & COO Eric Anziani said in a statement.
