Komainu, a regulated digital asset custody service provider, has signed a Memorandum of Understanding (MoU) to explore the integration of Bitfinex into its collateral management platform, Komainu Connect.
Komainu Connect aims to address the industry need to reduce client counterparty risk associated with storing collateral with trading counterparties.
By enabling assets to remain stored with a regulated custodian, Komainu says institutional investors will be able to capitalise on trading opportunities through digital asset trading platform Bitfinex while maintaining asset security and regulatory compliance.
The firms used Ledger Enterprise’s off-exchange trading and settlement technology, Ledger Tradelink, to allow institutional customers to trade through the Bitfinex platform, while assets remain in segregated custody with Komainu.
According to Komainu, the integration underscores the value of industry collaboration as the institutional digital asset ecosystem matures.
Paul Frost-Smith, co-CEO at Komainu, says: "This collaboration expands our ecosystem of trusted exchanges, further enhancing liquidity across our growing network of trading venues from centralised exchanges, OTC desks, market makers and prime brokers.”
Paolo Ardoino, chief technology officer at Bitfinex, comments: "Our collaboration with Komainu Connect reflects our commitment to expanding secure trading options for our customers and provides an additional layer of security for institutional investors by allowing them to leverage Komainu's regulated custody solution while still accessing Bitfinex's robust trading environment."
