FalconX is now the first and only cryptocurrency swap dealer registered with the National Futures Association (NFA) and one of the first crypto-focused Primary Level Members of the International Swaps & Derivatives Association (ISDA).
The registration solidifies FalconX as the most comprehensive prime broker for digital assets, offering the only platform that gives U.S. institutional investors access to the fast-growing OTC crypto derivatives market to conduct safe and regulated trading.
“This is a tremendous opportunity to bring regulated derivatives trading to the U.S.,” said FalconX CEO and co-founder Raghu Yarlagadda. “With this registration, we’re creating a venue for our clients to trade OTC crypto derivatives, while delivering the trust and security our institutional partners expect.”
With this new registration, FalconX clients can now enter into forwards, options and swap transactions with the industry’s most trusted framework. Clients will not incur changes to their operational processes using FalconX’s established standards for timing, valuation and confirmation. By partnering with FalconX as a regulated counterparty, investors can offer crypto derivatives to their client base with well-managed risk exposure.
With most of the crypto derivatives trading volume on exchanges outside the U.S., domestic institutional investors have had limited access—until now. As the first registered U.S. crypto swap dealer, FalconX is bringing this groundbreaking opportunity to U.S. investors on the only crypto trading platform built exclusively for institutions that offers complete digital asset management.
“The crypto derivatives ecosystem is at a critical growth juncture, and we are very excited to help accelerate its trajectory by providing simplified, regulated access to OTC derivatives for our institutional clients. As a principal dealer, we always have our clients’ best interests in mind.” Yarlagadda said. “It’s also a huge opportunity for us to be a market leader while offering our signature service to a wider range of investors.”
As the first primary member of the ISDA with a crypto focus, FalconX will collaborate with ISDA in developing contractual and operational standards for crypto derivatives, creating guidelines for the broader cryptocurrency industry on how to provide secure, regulated access to OTC derivatives.