LMAX Allows Digital Assets as Collateral Across Markets, Including Spot FX

LMAX Group has launched a service for its institutional clients that allows them to deposit digital assets and use them as collateral across the firm’s full product suite, including spot FX, precious metals, digital assets, CFDs and perpetual futures. 

The newly-launched service is dubbed Kiosk and it takes the shape of a customised portal enabling institutions to seamlessly accept, custody, allocate and deploy digital assets as cross‑asset collateral. This provides a way for institutions to juice their digital asset holdings, which have to be deposited to LMAX Custody to become deployable on the exchange’s markets.

 Kiosk offers a simplified workflow solution integrating tools for deposits, withdrawals, API credential management, WalletConnect, security controls and treasury management. David Mercer, CEO, LMAX Group, says that “hyper-efficient collateral” will play a key role in modern capital markets. “Kiosk adds to our suite of products delivering greater access to trusted, institutional-grade solutions that bridge traditional and digital capital markets,” he adds.

LMAX recently partnered with financial technology company Ripple to explore cross-asset use cases for digital assets, enabled by a $150mn strategic investment from the latter.