24 Exchange First to Offer Dynamic Credit through Partnership with Cobalt

24 Exchange's leading multi-asset trading platform is now connected to Cobalt's dynamic credit management platform for FX and Digital Assets

News provided by

24 Exchange

Feb 04, 2021, 04:00 ET

HAMILTON, Bermuda, Feb. 4, 2021 /PRNewswire/ -- In an industry first, 24 Exchange (24X) is offering dynamic credit management to participants on its multi-asset trading platform via Cobalt, the FX and Digital Asset infrastructure provider. Risk Hub, Cobalt's credit management system, is now available to clients of 24 Exchange's Non-Deliverable Forward (NDF) and FX Spot offerings, and will extend to FX Swaps when they launch later this month.

"The lifeblood of the FX market is interbank credit," explains Dmitri Galinov, Founder and CEO of 24 Exchange. "But the over-allocation of credit on third-party platforms can make it difficult for banks and credit intermediaries to have a complete, real-time picture of their risk, thereby creating unwanted exposure. Cobalt's dynamic credit offering solves this problem."

Real-time updates of exposure and credit risk can be managed centrally on Cobalt's Risk Hub, extending credit to third party platforms such as 24 Exchange. 24X is the first platform to offer its clients access to Cobalt's full suite of automated credit limits and controls, including designation notices, and credit optimization.

"As we roll out streaming liquidity in higher credit risk products such as FX Swaps, NDFs and Digital Assets, we needed our clients to feel 100% comfortable in their risk exposure," adds Galinov. "Integrating with Cobalt gives the banks control and confidence to push credit out to 24 Exchange."

Andy Coyne, Co-Founder and Head of Product at Cobalt, commented, "Dynamic Credit is a very important step for the FX and Digital Asset markets. It eliminates the risk of over allocation. It also protects credit providers while optimizing market access for clients. This is a real game changer, solving very real problems that have affected the market for years. Combining our solutions with forward thinking venues like 24 Exchange ensures that efficiency doesn't require sacrificing security."

About 24 Exchange

24 Exchange is a multi-asset class trading platform that allows market participants to exchange their exposures at the lowest possible cost. Our mission is to enable our members to initiate the most cost-effective trades across a growing range of asset classes, 24 hours a day. We lower the cost of exchanging assets in the global markets while delivering creative and unique workflows catered to each asset class. 24 Exchange is operated by 24 Exchange Bermuda Limited. The company is domiciled in Hamilton, Bermuda but is not regulated by the Bermuda Monetary Authority. More information is available at https://www.24exchange.net/.

About Cobalt:

Cobalt has transformed the FX and Digital Asset market infrastructure by building a middle office platform that is fit for today's high-speed electronic markets.

By creating a single standardised version of each transaction and managing credit in real-time, Cobalt enables all market participants to connect and automate their post-trade functions including confirmations, trade netting, and the management of credit relationships.

Cobalt's high availability, high throughput, Tier 1 secure platform enables the markets leading participants to cut costs, reduce counterparty risk, and increase trading to 24/7.

FX and Digital Assets. Automated. Secured. 24/7.

www.cobaltdl.com

Media Contact:

Eric Andrus
KARV Communications
Email: [email protected]
Phone: +1-212-333-0275

SOURCE 24 Exchange