trueDigital firms up plans to acquire crypto derivatives trading licenses

trueDigital, a startup geared at providing banks with digital asset solutions, has finalised details to acquire two licenses from its former affiliate company, trueEX. However, the deal will not be completed until it secures the CFTC's approval.

If it successfully acquires the much sought-after DCM and SEF registrations, trueDigital would be able to launch a regulated cryptocurrency derivatives exchange. That would put it in competition with the likes of ErisX and LedgerX, which are both edging closer to being able to launch their crypto products. It is now a race to be first.

trueDigital’s exchange aims to list physically deliverable bitcoin swaps in its bid to "deliver institutional-grade digital asset products," according to a statement.

“This acquisition reflects our goal to be the trusted choice for any institution that wants to trade novel digital asset derivative products through sophisticated infrastructure delivering the same regulatory framework that market participants require of any other asset class," Thomas Kim, trueDigital CEO said in a statement. He joined the firm earlier this year, which he discussed with The Block at the time.

About Author

Isabel is The Block's London and European reporter. She previously reported for Reuters in Madrid and London, following on from her time as a freelance journalist for the Guardian and the New York Times. She has a Bachelors in War Studies from King’s College London and a Master of Philosophy from the University of Oxford. Conflict of Interest: Edward Woodford, the CEO of SeedCX, is Isabel's brother. She does not report on any issues related to Seed or advise other authors in any regard.