Software May 10, 2022

The Next Generation of Trading Infrastructure Technology: Our Investment in Talos

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Even as digital assets have recently entered the mainstream, wide scale adoption among the largest traditional financial institutions has lagged. Innovation to date has largely centered around building a more consumer-friendly crypto ecosystem, leaving critical infrastructure gaps impeding institutional adoption. The current digital asset trading market requires building out complex connectivity tooling for functionality such as price discovery and best execution across fragmented liquidity sources. Enterprise-grade digital asset trading infrastructure remains a mission-critical prerequisite and a key barrier among the largest traditional institutions. With more than 80% of institutional investors expected to increase their fund exposure to crypto by 2023 and broader regulatory guidance likely forthcoming, demand for digital assets – and the resulting trading volume – will continue to accelerate. As the largest financial institutions seek access to a new generation of financial assets and market structure, they will mandate the same efficiency and tooling they’ve become accustomed to in traditional financial markets.

Talos’ Solution:

Talos is uniquely positioned to become the central digital asset trading infrastructure provider by bridging the gap between crypto and capital market communities and enabling access for institutions of all types to transact. As the top institutional-grade end-to-end crypto trading platform with deep roots in traditional markets, Talos allows users to seamlessly turn on connectivity across almost the entire crypto liquidity network. The platform has built out integrations across the ecosystem for trading, settlement, lending/borrowing and more via a single UI. Customers can use, or offer on their own platforms, advanced trading capabilities through a single API without needing to build connections to exchanges, market makers, custody providers, etc. themselves. As a result, institutions can trade, borrow, lend, and settle all within the Talos platform in a safe and familiar way – and every dollar in the digital asset market can potentially run through Talos’ pipes.

Having already proven success serving the most sophisticated crypto native clients, Talos’s solution will naturally be the leading choice for more traditional institutions that look to adopt the best-in-class solution. Customers will increasingly value an agnostic tech-first solution (not a financial counterparty) that provides better pricing and more control as funds execute more complex strategies. Talos’ approach allows institutional clients to own relationships with liquidity providers themselves and promotes the necessary trust to connect all key stakeholders within the institutional digital asset trading ecosystem.

Stripes Invests in Talos’ $105M Series B Financing:

When we first met Anton (Co-Founder/CEO) and Ethan (Co-Founder/CTO), we were immediately impressed by their acute understanding of the pain points faced by institutional crypto traders. Anton formerly spent over 6 years at Broadway Technologies as Director of Software before leading trading technology at AQR. Ethan was the Lead Software Engineer at Broadway for 10 years. As we built our relationship, we quickly developed conviction they had both the technical background architecting financial infrastructure for traditional markets and a strong command of the nuances of the burgeoning crypto economy. Speaking with customers, partners, and non-customers alike, the team’s caliber and forward-thinking vision has deeply resonated within the industry. Talos has already built a reputation on the cutting edge.

We are thrilled to partner with Talos because we believe this new market structure paradigm requires a new-age infrastructure stack. As a central tool offering connectivity across the crypto ecosystem, Talos will serve as the most efficient solution for existing participants as well as an out-of-the-box solution for new waves of entrants. We are confident Talos will only further catalyze and accelerate the institutional adoption of digital assets.

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