Today, we are announcing that we are shutting our exchange and fully focusing on our settlement infrastructure. Our settlement business, Zero Hash, has scaled incredibly quickly over the past 12 months and now counts some of the largest and most innovative digital asset companies as clients.

Friday 12 June will be the last trading day on Seed Digital Commodities Market’s Central Limit Order Book.

A more focused business

As a start up, you inherently gravitate towards opportunity and that often leads you to take on more, rather than less. …

This post consolidates third-party, independent analysis compiled by research and algorithmic best execution firm CoinRoutes.

Approach

Order book data was collected from seven of the largest US exchanges (including Seed Digital Commodities Market, Gemini, GDAX, Kraken, Poloniex, ItBit and Bitstamp). The time period analyzed was during the trading week of 2nd February (6:00 PM CST 02/02/2020 to 4:00 PM CST 02/09/2020). CoinRoutes’ Centralized Best Bid Offer (CBBO) allows for a detailed time-series analysis of order book data.

Note that the analysis does not take into account trading fees, which would allow for a more complete analysis of cost of execution. Given…

On February 21, we announced that Seed Digital Commodities Market (“SCXM”) offers some of the lowest trade execution costs on any trading venue globally.

As of today, trading groups can now reliably execute over 100 BTC orders on either side of the order book (i.e., buy or sell) with around 20 bps slippage, making it one of the most efficient places to trade digital assets amongst other exchanges and OTC providers across the globe.

In this blog, I unpack the headline figure around execution costs, which is important to so many groups. …

The digital asset space is truly global, with groups around the world enthusiastic about trading digital assets and taking advantage of the opportunities they present.

Our investor base reflects this widespread enthusiasm; we’re proud to have raised money from the United States (Bain Capital, CMT Digital, Tetras Capital), Europe (Queueco and Silver8 Partners), and Asia (OkCoin, Marvelous Peach Capital, QCP and Block0).

Despite being embraced globally, digital assets are being held back by gaps in several areas of infrastructure: liquidity, fiat settlement, regulation, trust, and technology.

At Seed CX, we’re dedicated to bridging those gaps to usher in a truly…

Photo by Clint Adair on Unsplash

Last week, my co-founder Brian released a detailed blog post on Seed CX’s Digital Asset Storage and Settlement Solution.

Uniquely, at Seed CX every client has a non-omnibus, segregated wallet. Settlement occurs at the end of each trading session between participants’ segregated wallets on-chain. At the same time, there have been several announcements of purely centralized ledgers on cold storage of assets.

There is a philosophical and technical difference of opinions emerging. It seems inconsistent to build a centralized solution to trade and settle a decentralized asset.

First, if centralized wallets succeed, we diminish the value of the network that…

Today we announced the successful launch of digital asset trading. The news was picked up by The Block, CoinDesk and Finance Magnates. It is testament to us developing our BTC/USD trading book over the past month. Over the next couple of weeks, we will be introducing ETH, BCH and LTC trading pairs, as well as introducing JPY and EUR on one platform.

We have developed a truly global client base that is using our licensed exchange for institutional trading and settlement of spot digital asset products. …

Staying true to our commitment of offering institutions a world-class platform for trading digital assets, Seed CX’s Digital Commodities Market (“SCXM”) was built to allow institutions to achieve best execution. This is in part driven by market makers willing to quote deep markets.

The execution cost of a trade, which is a function of liquidity, fees and slippage, is minimized on Seed CX:

  • SCXM’s fees are the most competitive in digital assets.
  • Low slippage on SCXM is achieved by having larger tick sizes and requiring that market makers quote larger minimum sizes, thereby offering deeper liquidity to all participants.

This…

At Seed CX, we believe it is critical that digital asset exchanges avoid any action or perception of a conflict of interest with our participants.

That’s why we have a policy that restricts our employees from trading cryptocurrencies and other digital assets (and Seed CX itself has no internal trading desk, unlike most other exchanges in the space).

We took this measure voluntarily — there are no laws or regulations requiring it — because it makes our platform more secure, more reliable and more worthy of investors’ trust.

But it wasn’t until today that anyone picked up on it. This…

Last summer, I was enjoying a poke bowl at the French Market for lunch when a gentleman approached me and asked if I could give him money for a transit ticket. He told me that he had a job interview that afternoon, but didn’t have the fare to get there. I had just spent a rather absurd amount of money on my lunch and felt a wave of being incredibly fortunate, so I agreed. I went to the ATM by the Union Station ticket office, withdrew some cash, and handed it over to allow him to purchase a monthly pass.

From their beginnings as the ultimate outsider investment vehicle, digital assets were ignored by the mainstream and institutional traders. But since late 2017’s price rally, digital assets have captured broader investor interest. Here, we present an overview of six key areas where the digital asset market’s structure currently falls short for institutional adoptions, along with what we see as the changes that will lead to institutional investors begin to trade digital assets. I will examine security; prime brokerage; susceptibility to manipulation; internalization; workflows, tools, and processes; and regulation. …

Edward Woodford

CEO, Seed CX. Creating a Global, Institutional Trading Venue for Digital Assets. www.seedcx.com

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