Flow Traders remains committed to the digital asset ecosystem

28 November 2022

While recent developments in the crypto markets have made international headlines, Flow Traders remains committed to building the digital asset ecosystem as both a market maker and strategic investor. We are focused on adding value to the sector and continuing to provide liquidity. For Flow Traders, it is very much business as usual.

Overall, the digital asset space is maturing. However, recent events involving centralized finance parties have shown that transparency and regulation are key to the future evolution of the global digital asset ecosystem. More recently, there has been a shift in how market participants perceive digital assets as a whole and trust needs to be rebuilt to unlock the true potential long-term benefits.

One way is through improved regulation, which will continue to help drive innovation and unlock the markets’ true potential. This will bring greater transparency, stability, and security for participants and enable wider adoption, something Flow Traders supports.

Flow Traders has been a long-standing supporter of transparent markets and we still strongly believe that the innovation taking place within the digital asset space contributes positively to the broader ecosystem and financial markets. We believe such innovation would lead to enhanced choice and reliability in digital assets, resulting in greater adoption and new entrants to build the ecosystem, benefiting financial markets going forward.

Flow Traders digital asset proposition

As a regulated and listed firm, Flow Traders is well-positioned in the market. We use our proprietary trading infrastructure and diversified liquidity provision to continually support partners and the ecosystem through our on- and off-exchange offering, accurate pricing, strategic investments and our centralized and on-chain market making.

Flow Traders has been trading crypto currencies since 2017, establishing a strong market position in the space. Connected to multiple top-tier exchanges and trading venues globally, Flow Traders’ capabilities extend across multiple asset classes, which we leverage to offset trading risk.

We secured our crypto registration from the Dutch Central Bank (DNB) in 2021, and today we operate a robust risk management framework that is embedded in the organization, ensuring that even during the most volatile times we continue to meet our obligations. Specifically regarding FTX, our exposure is insignificant, and we diversify risk by trading on multiple exchanges and platforms across multiple asset classes and limiting our exposure to any single counterparty.

Our track record demonstrates our resilience and ability to support the development of the market further. We remain committed to building both trust and the infrastructure required to truly unlock the potential that digital assets can bring to financial markets and are committed to advocating for clearer regulation to enable innovation. This will lead to greater transparency, the protection of market participants, and the ability to unlock the full potential of digital assets.