Monex Group’s digital-asset focusing subsidiary TradeStation Crypto, today announced a new partnership with Zero Hash. It is a Seed CX platform that will provide lending infrastructure to the company.
Better loan settlement
The new partnership will allow TradeStation to utilize the custody and settlement infrastructure of the Seed CX platform Zero Hash. It will allow the company to automate collateral management as well as loan settlement on its platform. Zero Hash will also help TradeStation Crypto in managing its digital asset loan book and will provide the firm will a centrally settled digital asset offering. It would also give the firm wider access to a number of key liquidity venues and crypto markets.
The company noted,
“Through the collaboration, TradeStation Crypto can streamline loan submission and settle digital assets, benefiting from Zero Hash’s automation and real-time valuation feeds. TradeStation Crypto and its loan counterparties can now enjoy greater efficiency throughout the loan lifecycle.”
What else will Zero Hash do?
The lending infrastructure from Zero Hash will enable the automation of collateral management and settlement of loans for TradeStation Crypto. This will help in managing counterparty risk and also simplify the acceptance of multiple collaterals for a loan. Seed CX subsidiary Zero Hash is registered as a Money Services Business and an FX Dealer with FinCEN. It is also registered as a Money Transmitter in 45+ states in the US.
The settlement service supports both fiat and crypto spot settlements. It will also be launching support for forwards, repos, and other products in the upcoming months. The product was already implemented on a single-dealer platform, FX ECN, and traditional brokers’ trade cycles. TradeStation Crypto’s senior director of product James Putra said that the crypto lending space has grown exponentially in 2020 because of the lucrative yields. This space needs more automatic which is the only way to bring more scale and bring higher levels of institutionalization in the market.