Jul 18, 2023
FalconX launches Suite of Institutional Crypto Derivatives Powered by CF Benchmarks
FalconX partners with CF Benchmarks to offer trading of a broad range of cryptocurrency derivatives in a regulated environment
London, 18 July 2023 - Falcon X, the digital assets prime brokerage for the world’s leading institutions, is releasing the only crypto derivatives suite offered by a CFTC-regulated swaps dealer.
These contracts are settled against indices administered by CF Benchmarks, the FCA regulated cryptocurrency index provider.
The contracts offer regulated access to the crypto derivatives market, via swaps, options and non-deliverable forwards (NDFs) that settle to single asset reference rates provided by CF Benchmarks.
- The contracts provide exposure to Bitcoin settled against the CME CF Bitcoin Reference Rate, and to Ether settled against the CME CF Ether-Dollar Reference Rate
- FalconX is also offering a range of derivatives products settled against other regulated CF Benchmarks single asset reference rates, so clients can gain exposure to leading cryptocurrencies beyond Bitcoin and Ether
“Derivatives benchmarked against resilient and regulated indices are the primary route institutions take to gain exposure to the crypto asset class,” said Sui Chung, CEO of CF Benchmarks.
“We are delighted that FalconX will provide exposure to a host of digital assets through our market-leading benchmarks, including the CME CF BRR. This will encourage further activity in the fastest-growing area of institutional finance today.”
FalconX taps CME CF BRR Liquidity Complex
CF Benchmarks is a key part of the crypto market’s infrastructure. Its indices have settled the regulated crypto derivatives contracts from CME since launch in 2017. Through the use of the same spot reference source, FalconX clients can tap into the liquidity complex around the CME CF BRR, this includes the most liquid regulated instruments such as the CME crypto futures and ETFs listed in multiple jurisdictions. This development is poised to have a profound impact on the way institutional investors interact with digital assets, ultimately driving increased adoption and growth within the sector.
By offering a suite of benchmarked derivatives contracts, FalconX and CF Benchmarks are addressing the growing demand for secure and transparent investment products in the rapidly expanding digital asset space. Institutional investors can now confidently gain exposure to cryptocurrencies, knowing they are backed by a regulated and reliable infrastructure. The integration of these benchmark indices into FalconX's offerings will enable clients to efficiently manage risk and seize opportunities in the burgeoning world of digital finance.
Opening the path to future innovations
As well as enhancing overall market stability and fostering trust among institutional investors, this partnership paves the way for future innovations in the crypto derivatives landscape. As more institutions embrace digital assets, the collaboration between FalconX and CF Benchmarks will prove instrumental in shaping the trajectory of the industry, ultimately spurring further advancements in technology, regulation, and product offerings.
"Regulated derivatives are critical instruments for institutional investors to safely access digital assets,” said Baris Cetinok, Chief Product Officer of FalconX.
“We are proud to be able to deliver the industry's best-in-class regulated derivatives offering - purpose built for the world's leading institutional investors."
The partnership between FalconX and CF Benchmarks signifies a major milestone in the evolution of the digital asset ecosystem. By equipping clients with the tools and resources required to navigate the ever-changing cryptocurrency landscape, this alliance sets a new standard for transparency, reliability, and innovation in the world of institutional finance.
To learn more about these or other derivatives products offered through FalconX, click here.
FalconX is the largest, most reliable prime brokerage for the world’s leading institutions. We provide the most comprehensive access to the deepest global digital asset liquidity. Through our prime brokerage platform, FalconX 360, investors unlock and scale returns faster and more efficiently than any other platform. Our 24/7 dedicated team for account, operational and trading needs enables investors to navigate dynamic markets around the clock.
The company is backed by investors including Accel, Adams Street Partners, Altimeter Capital, American Express Ventures, B Capital, GIC, Lightspeed Venture Partners, Sapphire Ventures, Thoma Bravo, Tiger Global Management and Wellington Management. FalconX has offices in Silicon Valley, New York, Chicago, Bengaluru, Singapore and Malta. For more information visit falconx.io or follow them on Twitter and LinkedIn.
FalconX Media Contact: [email protected]
About CF Benchmarks
CF Benchmarks is the leading provider of cryptocurrency benchmark indices and is authorized as a registered Benchmark Administrator (FRN 847100) under the UK Benchmarks Regulation (UK BMR). Its benchmark indices are composed of market data from six constituent exchanges and provided through public methodologies and transparent governance, for tracking, valuing and settling risk in cryptocurrency products and services.
CF Benchmarks’ indices underpin 99% of the regulated crypto derivatives market, including all crypto derivatives offered by CME Group and equating to over $550bn of cryptocurrency derivative contracts listed for trading by CME Group and Kraken Futures combined.
CF Benchmarks indices are also used by major asset managers such as BlackRock, Evolve ETFs and Hashdex, to benchmark and value regulated investment funds; and in OTC offerings from major providers like Cumberland and B2C2. Additionally, the indices are integrated into some of the largest crypto products in terms of AuM.
CF Benchmarks Media Contact: [email protected]