Cryptocurrency’s main dealer, based on the institutional level, SFOX attracted almost 23 million US dollars to fund the development of a full-featured asset management platform for large-scale investors with crypto-currencies.
Announced on Thursday, SFOX at $ 22.7 million. A series round of financing was led by Tribe Capital and Social Capital, as well as investments from Y Combinator, Khosla Ventures, Blockchain Capital and Airbnb co-founder Nathan Blecharchik.
SFOX helps institutional investors execute large transactions with crypto-currencies, routing orders through multiple exchanges and OTC, allowing them to fix the best available prices, as well as minimize the impact of large orders for crypto-currency prices in spot markets.
“The distributed character of the crypto-currency generated a wide breadth of exchanges around the world, creating a fragmented market and limited liquidity,” said Akbar Tobhai, general manager of SFOX. “Over the past four years, we have been able to provide our customers with a single point of access and better price execution by creating the necessary intelligent routing technology for the navigation and connection of these global markets and exchanges.”
SFOX works mainly with institutional and other investors with high net worth.
The company said that since its launch in 2014, it has processed a total of $ 9 billion of transactions, and in 2018 its customer base has grown 12-fold, even when the crypto-currency market suffered a severe decline . This is not entirely unexpected, since a decrease in trading volumes made it difficult for investors to enter or exit to large positions, without causing sharp price fluctuations in the entire market.
Thinking about how institutional investors have warmed to the crypto currency since the launch of SFOX four years ago, Thobhani told CCN that he now spends much less time than before to train potential customers for the basics of the industry – to answer questions such as “What is bitkoyn ? ». – and more time explains the nuances of the difference between different classes of assets, as well as the best practices for managing their cryptanalysis.
Thobhani told CCN that SFOX plans to use its new capital to address additional “pain points” for institutions throughout the trading process, from KYC / AML to post-trading reports.
He said: “Institutions are looking for more than just selling. Institutions, for example, look for reports so they can better manage their accounts. To support them, we provide unified reporting for our customers. SFOX provides a comprehensive solution for institutions, from the KYC / AML API for the on-board network, the preliminary analysis of trade using our data analytics, to manage post-trade exchanges using our reporting solutions. We will use the capital we have collected to create more tools to address these additional pain points for institutions and provide a complete cryptographic resource management platform. “