LGO Markets, a new crypto exchange for institutional investors, has officially launched today, CoinDesk reports. Users can start setting up their accounts and send funds, but spot trading in bitcoin will commence on March 11. Hugo Renaudin, LGO Markets CEO, said 10 institutional clients have already been secured, including over-the-counter trading desks and hedge funds, while 56 are at the on-boarding stage. By consulting with crypto-friendly banks, Renaudin said, “There are roughly 400 institutional clients that are currently trading in the cryptocurrency market.”
LGO’s biggest differentiator is that the exchange is opting for an unusual centralised and decentralised approach. According to LGO’s white paper, it uses “decentralisation to ensure verifiability and multilateralism in order to promote the protection of sensitive information.” A client will need to create a multi-signature wallet. Moving funds will require using two out of three private keys, which are controlled by the client, LGO Markets and Altcoinomy, a Switzerland-based company that will act as a clearinghouse.
LGO will not be responsible for transferring bitcoin or fiat between accounts. Therefore, clients will always maintain their own custody, remaining in control of their funds. Renaudin claims this means if the company is hacked or the office is destroyed, the clients will still be able to access their funds.