Crypto Trading Desk Planned By Investment Firm Susquehanna

Announcements, News | June 7, 2018 By:

Investment firm Susquehanna International Group (SIG) has announced that it will begin offering cryptocurrency trading to its clients.

Founded in 1987, SIG is one of the world’s largest investment firms. It comprises a number of affiliated entities specializing in trading and proprietary investments in equities, fixed income, energy, commodity, index and derivative products, private equity and venture capital, research, customer trading and institutional sales.

Susquehanna has been buying and selling bitcoin and other cryptocurrencies through private deals for two years. Now, the company plans to begin offering digital currencies to a small group of its 500 clients with a view to expand the service in the future.

“We believe that this technology and this asset class is going to change some facet of financial services, and we think it is going to exist forever,” said Bart Smith, head of Susquehanna’s digital asset group.

In addition to bitcoin futures, Susquehanna will also allow customers to buy and sell actual bitcoin and a few other cryptocurrencies like ether and Bitcoin Cash. To make these available to customers, the company recently made amendments to its broker-dealer license. The change will legally allow the firm to trade cryptocurrencies that have been recognized by the US Securities and Exchange Commission (SEC) as securities.

The company has also built its own systems for storing cryptocurrencies. Private keys are kept in devices in an off-site facility that is not connected to the firm’s computer system, which reportedly makes them more resistant to hacker attacks.

The announcement follows plans from New York Stock Exchange owner Intercontinental Exchange, along with investment banking giant Goldman Sachs, which have both signalled their intention to offer bitcoin futures.