United Fintech Unveils CobaltFX: to Spin Off Digital Assets
Posted by Colin Lambert. Last updated: May 3, 2023
Following its acquisition of the firm in December 2022, United Fintech has relaunched CobaltFX in a move the firm says, “returns Cobalt to its roots”. The digital assets side of the Cobalt business is to form what the firm terms a “parallel venture” on the same platform in Q2.
United Fintech has named Marc Levin as the new CEO of CobaltFX, with Elizabeth Missfeld stepping up to the COO role and Erik Nordahl as CTO – all three were members of the existing United Fintech management team, Levin remains COO of the overall group.
“CobaltFX’s goal is to re-engineer the world of foreign exchange through a rock solid platform focusing on credit optimisation and post-trade FX, dynamic credit being the most important starting point,” says Andy Coyne, who has moved with Cobalt to focus on innovation and building out the FX product set. ”As part of United Fintech, we join four other partner companies, retaining our formal status as a partner company. There are a lot of synergies between the partner companies and United Fintech. Not only from a client and solution perspective, but from a visionary perspective; together, we’re stronger than ever.
“United Fintech has a unique model that does not seek to absorb the partner companies, but rather exploit all the product synergies for clients making it easier for banks and financial institutions to adopt multiple products through a single platform, allowing clients to adopt and select solutions, contracting with United Fintech directly,” he continues. “Thus, if you’re a client of one of the products, you can more seamlessly license and implement other products, significantly reducing procurement processes and onboarding.”
Explaining the digital assets spin off, Levin says, “We believe both opportunities are huge and should be pursued, but not under the same banner. While FX and digital assets are similar in many ways, and likely to merge in the future, the two industries are currently at very different maturity stages of their evolution, largely operating independently and therefore requiring different approaches to be successful on their own. Hence the spin-off of Cobalt’s DA product as part of a bigger United Fintech play in this area.
”We’re very excited to announce this later in Q2,” he adds. ”Until then, I’m very pleased I get to join this adventure with Andy Coyne and Darren Coote.”
A full interview with Coyne and Levin can be found here.