TechFinancials Inc (LON:TECH), the provider of software solutions for the online trading industry that had its initial public offering on the London Stock Exchange about a month ago, announced today that its partnership with Cantor Exchange, the US-based and CFTC-regulated exchange focused on binary options, went live. The partnership effectively marks the entrance of TechFinancials in the US market.
TechFinancials went live with the Exchange on March 23, 2015, after a six-month initial integration period.
TechFinancials’ market leading pricing technology allows it to price options accurately even in complex situations such as demanded by US financial regulation. It is useful to mention that the US regulations prohibit binary options trading over-the-counter. Trading with binary options is allowed only via regulated exchanges, like Cantor Exchange.
TechFinancials said it had already commenced talks with potential Introducing Brokers (“IB’s”) to use an integrated solution with Cantor that allows them to serve traders who wish to trade binary options on the Cantor Exchange. This will allow maximal utilization of the TechFinancials’ platform and will help drive volume to the Exchange.
Cantor Exchange has recently started to offer gold binary contracts (as at 30 March 2015), using the Company’s technology to supply further liquidity to Cantor Exchange contracts.
The partnership represents an important milestone for TechFinancials. It meets one of the key strategic objectives of entering new regulated markets with high growth potential as outlined at the time of the Group’s Admission to AIM on 16 March 2015. The regulated US environment represents a new growth market for the Company and its licensees, and entering this market marks an important milestone in the Company’s growth strategy.
Richard Jaycobs, President of Cantor Exchange, said: “Our business model is based on offering open access to our Cantor Direct FIX-based API thereby optimizing liquidity, transparency, and cost efficiency for traders. As a valued independent software vendor, TechFinancials is contributing an advanced, yet simple and user-friendly interface to complement our unique world-class mobile trading platform for web, Apple® and Android® devices. This will ensure that Cantor Exchange traders experience superb functionality, whether connecting directly to us or using technology provided by our ISV partners.”
Commenting on the agreement, Asaf Lahav, Group CEO of TechFinancials, said: “TechFinancials is very pleased to have been appointed by Cantor Exchange as its independent software vendor. TechFinancials’ ability to provide for liquidity providers on the Exchange, supported by our software platform, demonstrates the strength and technological advancement of the TechFinancials pricing engine compared to other industry players. We are particularly pleased to have entered such a high growth market such as the US and we look to further extend our footprint in this important growth region.
“The Board is pleased to have already delivered in key areas of our commitment to shareholders, particularly in relation to the growth strategy to enter new regulated markets with a high growth potential; which we set out at our IPO.”
To view the official announcement on TechFinancials/Cantor Exchange partnership, click here.