Finery Markets statement on recent events in the crypto markets

It’s been an overwhelming week for crypto. Finery Markets would like to make the following statements with regards to its current stance and its further development:

What we do and what we don’t do…

1. Finery Markets is a multi-dealer OTC marketplace for institutional participants in cryptomarkets. Our solution is non-custodial, so we never touch client funds.
2. As a marketplace, Finery Markets is a credible-neutral solution, which allows customers to pick the best possible institutional partners through a single API.
3. Furthermore, we provide our clients with advanced automated risk-management tools throughout the full trade cycle to help set up and manage bilateral limits, adjust margin requirements, manage open positions and support their settlement process.
4. Finery Markets has no conflict of interests with customers. We neither provide brokerage or custody services, nor do proprietary trading.
5. Finery Markets had no business with and had zero exposure to FTX or Alameda Research.

How these events will affect the crypto industry:

The FTX drama is not a crypto failure, it’s a failure of a centralized intermediary with embedded conflict of interest and poor risk management, to put it mildly. Crises like this should serve as a reminder of the core crypto principles: decentralization, trustlessness and credible-neutrality.

Crypto is the biggest transformation of the global economy, though there may be more pain to come in the next few weeks given possible contagion. This may damage crypto perception and temporarily lead to shrinking market size, but we believe we can bring even more value to our customers thanks to the following:

1. Going forward, market share may migrate from unregulated/self-regulated centralized intermediaries with custodial services towards regulated OTC offerings with non-custodial solutions.
2. Despite switching to risk-off mode, the crypto B2B sector is starving for strong technology, robust and transparent risk management systems to make a leap from high-touch to low-touch trading. Finery Markets is a perfect solution to cover these institutional players’ pains.
3. We might see lower retail interest for speculative crypto assets, but we see a growing number of B2B and B2B2C use-cases, where crypto is a perfect tool for seamless transactional businesses, which is less vulnerable and volatile under current circumstances.
4. We managed to increase our business 12X last year and continue to see business growth in 2022 despite all the turbulence caused by Terra/Luna, Three Arrow Capital, Celsius, Voyager and the recent FTX collapse.
5. We’ll keep building as always to introduce new services to our clients. For the next several months we’ll be focusing on the introduction of DVP/PVP settlements, prime-brokerage as a service, on-chain transaction monitoring and new risk-management tools.