Anchorage Digital has launched a settlement platform that allows institutional clients to trade across crypto venues while keeping assets in its federally regulated bank. The company stated that this solution helps manage counterparty and operational risks, as reported by Cointelegraph.com. reported by.
The Coordinated Multiparty Settlement (CMS) system, announced on Monday, connects trading venues, prime brokers, and institutional clients through a common settlement layer. Assets remain under the custody of Anchorage Digital Bank throughout the entire trading process. CMS verifies funding obligations and coordinates settlements between participants, reducing the number of asset transfers.
According to the company, the system was designed to reduce the need for pre-funding exchange accounts, a common practice in crypto markets. Anchorage criticized the current state of crypto trading, where many trades occur on offshore platforms that act as exchange, custodian, and settlement agent simultaneously.
In the CMS model, prime brokers manage client balances and credit relationships, while trading venues serve as matching engines. Anchorage provides custody and settlement services. The project is launching in partnership with Spotex, a currency trading platform with billions of dollars in daily volume.
Financial institutions and digital asset companies are rapidly expanding tokenized assets and institutional trading infrastructure. Notably, the Canton Network is becoming a hub for firms exploring blockchain-based settlements. Major banks like Standard Chartered continue to invest in digital asset custody and market infrastructure.
Read “Zamin” on Telegram!
