Crypto exchange OKX has inked a deal with Forteus and Dubai-based Komainu to provide enhanced trading and custody service, on November 27th.
According to the official announcement, cryptocurrency exchange and on-chain technology supplier OKX has signed a three-way contract with regulated digital asset custody service provider Komainu and diversified digital asset management company Forteus.
The deal comes at a time when OKX has been constantly expanding its product services in various countries. Just previously, the platform launched a self-custodial wallet and trading platform in Belgium on November 26th.
What Will The Partnership Include?
Through this partnership, Forteus will be able to trade on the OKX platform around the clock, while Komainu will have separate custody of its assets.
Komainu will provide qualified custody services and cold storage for assets held on behalf of Forteus at the end of the contract.
A major advancement for big institutional cryptocurrency traders that need instant access to all of OKX’s industry-leading trading tools through custody is the off-exchange settlement and mirroring option. Its spot OTC, futures spreads, options liquidity network, and Liquid Marketplace are all included in this new partnership.
Commenting on the partnership, Forteus President Nicolas Vanhoutteghem said: “This tripartite arrangement, which has been developed with OKX and Komainu, allows our clients to benefit from the most secure trading environment, where assets are held with a regulated custodian while providing 24/7 market access.”
They add, “This off-exchange settlement solution represents a huge step forward in the mitigation of counterparty risk, which has been a key concern amongst investors looking to access the rich sources of alpha available in crypto markets.”
Forteus and OKX Aim to provide Security and 24/7 Trading
The partnership between OKX and Forteus will focus on security and 24/7 reading. According to the release, to ensure asset protection and regulatory compliance, digital assets will be kept in segregated custody with Komainu, an independent and regulated custodian.
Additionally, Forteus will be able to trade in large quantities on the OKX platform at any time of day. The deal will also help in effectively mirroring balances by the tripartite system, which permits smooth trading without requiring regular asset transfers between the custodian and the exchange.
Also, the partnership will enable, the establishment of rights, obligations, and conflict resolution procedures through well-defined legal frameworks boosting institutional trading’s credibility. By improving liquidity and trading efficiency, the partnership offers optimal capital use through intraday settlement modes and real-time collateral mirroring.