The Globe crypto derivatives exchange, which is preparing to launch in the coming weeks, has raised $ 3 million in initial funding, the Block writes. Investors included Y Combinator, Pantera Capital, Tim Draper's Draper Dragon Fund, and Wavemaker Partners.
Exchange CEO James West said that Globe is focused on serving institutional clients, intending to offer them new products and improved service quality. He also said that Globe uses its own bid matching and risk assessment engine called Thor. The company expects that it will be able to compete with Nasdaq in terms of application processing speed and throughput. Market participants, however, note that the key factor for a trading platform is not speed, but liquidity.
In order to solve the latter problem, Globe intends to attract liquidity providers for institutional investors to its platform. "We provide them with direct integration and a standard set of functions of traditional futures exchanges, such as the Chicago stock exchange, the new York stock exchange, and so on. In addition, we focus on the needs of funds that use quantitative strategies, which are now thinking about cryptocurrency divisions to conduct transactions that they carry out in traditional markets, " West added.
Globe is registered in the Seychelles and based in London. It does not plan to serve American customers. Initially, the platform will offer perpetual contracts for bitcoin, Ethereum, the bitcoin volatility index and tokens from the space of decentralized Finance.