Broadridge Financial Solutions, Inc., a financial technology firm, has announced its partnership with cryptocurrency exchange Coinbase. As a result of the collaboration, Coinbase Prime will be interoperable with the NYFIX order-routing platform used by Broadridge Trading and Connectivity Solutions. By combining an innovative trading platform, safe custody, and premier services, Coinbase Prime is a one-stop shop for managing cryptocurrency holdings.
What the Coinbase partnership means to Broadridge clients
At present, the service is only available to domestic US customers. However, expansion to other regions will happen after getting the necessary regulatory approvals. Not only does the platform give the buy-side complete prime brokerage capabilities, but it also aggregates access to the vast majority of the market’s crypto liquidity via the industry’s premier smart order router.
Together, Coinbase and NYFIX can connect over 2,000 clients to facilitate crypto trading in the institutional sector. Coinbase has significant access to liquidity, while NYFIX has a large customer base.
There has been a rise in institutional interest in the cryptocurrency market, but trading assets has been difficult due to the fact that messaging is only accessible via private API interfaces. With this integrated solution, NYFIX users can send orders directly to Coinbase Prime via the FIX protocol. Corporate governance is made easier by the worldwide communications centre that is Broadridge’s infrastructure. This is accomplished by connecting hundreds of publicly traded companies and mutual funds with millions of investors in financial markets throughout the world.
By leveraging NYFIX’s order-routing infrastructure, this partnership increases access to high volumes of multi-venue crypto liquidity for buy-side traders. Also, buy-side traders can access Coinbase’s cryptocurrency liquidity and trade from within their order management system. This makes it easier for more people to gain exposure to this lucrative asset class. The partnership with Coinbase is therefore strategic as it bridges traditional markets investors and the digital assets market.