TP ICAP, the world's largest inter-dealer broker, has announced that it is now offering crypto-linked exchange-traded products (ETPs) trading to its European clients. With Goldman Sachs, the market infrastructure provider has completed its first trade on crypto-asset equity instruments.
According to TP ICAP digital assets co-heads Simon Forster and Duncan Trenholme, the firm has been trading in Europe for clients such as Goldman Sachs, Flow Traders, and Jane Street.
TP ICAP's digital assets business traded ETC Group Physical Bitcoin (Bloomberg Ticker BTCE GY) outright and against the CME Bitcoin Future in the form of an exchange for physical (EFP). CME Bitcoin Futures volumes have increased significantly due to the recent approvals of the first U.S. Bitcoin Futures-based ETFs.
"We're delighted to start providing liquidity for clients in these European crypto asset equity instruments alongside Goldman Sachs and some of the most respected market makers in the space. We look forward to adding further equity instruments and to start providing our clients with access to crypto asset ETFs out of the U.S. in the near future." said Simon Forster.
TP ICAP plans to launch the trading of crypto-linked ETPs in the U.S. in the coming months. Nevertheless, the rollout of over-the-counter (OTC) derivative products based on digital assets is the priority for 2022. The broker forecasts increased interest in crypto asset-based futures and options products and the development of an interbank NDF (non-deliverable forward) market for Bitcoin and Ethereum in 2022.