Flow Traders Launches OTC Offering With 24/7 Liquidity for Tokenized Assets

Core Viewpoint - Flow Traders has launched a 24/7 OTC offering for tokenized assets, addressing the increasing demand for reliable access to these assets during extended trading hours [1][2]. Group 1: Company Overview - Flow Traders Ltd. is a leading global trading firm that provides liquidity across multiple asset classes, including digital assets, and has been operational since 2004 [7]. - The company has a strategic investment unit focused on market innovation, aiming to enhance transparency and efficiency in the financial ecosystem [7]. Group 2: Product Offering - The new OTC offering includes two-way liquidity for tokenized money-market funds, equities, and commodities, such as Franklin Templeton's BENJI and Tether Gold [1]. - The offering is designed to support institutions in trading and hedging exposure to tokenized assets, particularly during non-traditional market hours [2][3]. Group 3: Market Context - There is a growing institutional interest in tokenized assets, as they provide opportunities for trading and risk management outside traditional market hours [2]. - The trading volume of tokenized equities and synthetic equity derivatives has reached approximately 2-3% of the notional trading volume of primary U.S. listings for some large-cap stocks [3]. Group 4: Liquidity and Infrastructure - Flow Traders provides 24/7 two-way pricing supported by risk controls tailored for overnight and weekend market conditions [3]. - The OTC platform allows institutions to access liquidity through various connectivity options, including direct FIX connectivity and high-touch OTC execution [4]. Group 5: Future Developments - The asset coverage of the OTC offering will evolve based on counterparty demand, regulatory considerations, and supported venues [5].