Europe-based digital asset exchange Nexo has launched a new product to complement its existing retail platform. Dubbed Nexo Prime, the new proprietary prime brokerage platform targets institutional investors, corporations, and high-net-worth individuals.
According to Nexo, the Nexo Prime platform is designed to serve as a unified platform that provides investors with access to advanced tools for trading, borrowing, lending, and storing digital assets such as bitcoin (BTC) and ether (ETH). In addition, the platform will offer round-the-clock service to all of its clients across the globe, including high-touch executions of spot- and derivatives instruments.
Kalin Metodiev, Nexo’s co-founder and managing partner, said:
“Institutional and corporate demand for digital assets has never been greater, and the market for prime services could be 10x over the next year. Clients entering the space demand a sophisticated, all-in-one, institutional-grade platform, and that’s exactly what we provide them with Nexo Prime.”
Deep liquidity for over 300 trading pairs
Nexo Prime’s proprietary so-called “Smart Routing System” is “set to deliver cost-effective execution of large trades while balancing diversified liquidity aggregated from leading exchanges, liquidity providers, and select market makers.”
Unlike Nexo’s (NEXO) core platform, which today serves retail investors and small businesses, Nexo Prime’s infrastructure aims to empower institutional investors with “seamless and reliable” execution of large orders at competitive trading fees. The Nexo team has specified that Nexo Prime offers order book depth and deep liquidity aggregated from multiple sources for more than 300 trading pairs.
Besides providing institutional clients with access to liquidity on demand, Nexo Prime also offers a crypto lending platform for margin trading or OTC (over-the-counter) loans.
According to Nexo, this complements the platform’s support for institutional financing options for various assets, including cryptocurrencies, stablecoins, and fiat currencies. In addition, this institutional credit line offers flexible settlement options, zero interest rates, and no liquidation risk.
$375 million worth of custodial insurance
In addition to the above, Nexo Prime will administer OTC services, including access to personalized services across Nexo’s OTC trading, borrowing, and lending desks. The platform also intends to offer high lending interest rates through its “Earn Interest” feature, helping investors passively grow portfolios.
For enhanced security, Nexo Prime’s custody framework leverages solutions like BitGo, Fidelity Digital Assets, Ledger Vault, and Fireblocks to store all client assets in “military-grade” Class III vaults. It has also opted to cover assets under a $375 million worth of custodial insurance from Lloyd’s of London and March & Arch.
Yasen Yankov, Nexo Prime’s Vice President of Development, said:
“We’ve carefully built out and incubated Nexo Prime over the past 18 months with a core client group, and we’re excited to unveil the platform for the rest of the world to see.”