Citadel plans on building crypto ecosphere.
Citadel which happens to be a technological giant, provides financial services such as hedge funds and many more. Founded in 1990 by Kenneth C. Griffin, it has more than $50 billion in assets under management as on May 2022. Citadel in recent announcement told that it intends on creating a crypto trading ecosphere of its on which will be different from crypto exchanges. For its vision of building the ecosphere, it has partnered with market making firm Virtu Financial, as well as Venture Capital firm Sequoia Capital and Paradigm. The prominence of Citadel Securities which also is the sister company of Citadel will take the vision of building the trading ecosystem for crypto forward.
Citadel Securities role.
Citadel Securities primary objective will be to take the market in control. To do so, the firms under Citadel Securities’ initial consortium will be joined by additional wealth managers, market makers and other industry leaders. The addition of these exceptional players in the firm before the launch will surely help the company in achieving its goal.
According to a source, the market place is intended to create more opportunities for the investors. The access of various diversified digital assets will be created, creating a high percentage of liquidity for the investors in the market. To support the objective, the industry leaders are closely working together to enable the safe, clean, compliant and secure trading of digital assets.
Deficiency in current crypto market – an advantage.
As we all know, there are many negative aspects of a crypto market as on date. The structures deficiency is the problem that Citadel Securities primarily aims at addressing a close source said. Citadel envisions at creating a crypto trading ecosystem rather than a simple crypto exchange to attack the deficiency in the structure. A source also revealed that, they are looking forward to take on the crypto exchanges by building a better mouse trap.
To take the advantage of the current situation, Citadel is acting on its feet. One of the spokes persons revealed that, Citadel Securities is actively hiring executives to build out a crypto trading stack. The company is in discussions about a huge amount of systematic internalizing involving the sister companies.
Writer’s report:
Since the market is slowly reviving, the idea of building a crypto trading ecosystem is not a bad one. The importance here needs to be given to the monopolistic aspect of it. If Citadel is successful in creating its own ecosystem, then it will have the power to control the market in its own terms which can either be positive for the market or can lead to disastrous outcome and make the market crash.
