Ancoa, a firm which describes itself as providers of contextual surveillance and insightful analytics for exchanges, regulators, buy & sell-side firms. It was recently announced that LedgerX, an institutional trading and clearing platform that is awaiting regulatory approval from the U.S. Commodity Futures Trading Commission (CFTC) to trade and clear options on bitcoin, whilst Ancoa have entered into a partnership. Ancoa has been commissioned to provide a pioneer “real-time market and trade surveillance platform for monitoring bitcoin options trading on LedgerX”.
The function of this is to enable detection of manipulative practices and suspicious trading systems on exchanges all over different locations on bitcoin spot markets, as well as its own exchange. This is a stride achieved for LedgerX, as it is expected to enhance the firm’s risk management systems, made in a moment by the CEO of the firm; “Comprehensive market and trade surveillance capabilities are integral to operating a regulated exchange,” Additionally, Mr. P.L. Chou indicated that the ever developing bitcoin market is in need of sophisticated surveillance systems, as he commented further: “Furthermore, to meet the complex needs of an evolving bitcoin market and to support our sophisticated exchange platform, LedgerX requires an agile surveillance system built on the latest technology. Together with our experienced team, the Ancoa platform will provide the surveillance needed to ensure a fair and orderly bitcoin options marketplace”
The deal is seen to be mutually beneficial to both parties as being a pioneer of such a tool helps enhance Ancoa profile as an industry leader in technology. It also helps LedgerX manage risk better. The system is awaiting approval from the CFTC to operate as the “first U.S. regulated exchange and clearing house for trading bitcoin options”. After ratification, other institutions interested and permitted can use the LedgerX platform to hedge bitcoin using exchange-traded and centrally-cleared options contracts as Ancoa to launch pioneer trade surveillance tech on LedgerX .
In conclusion,Stefan Hendrickx, Founder and Executive Director of Ancoa, commented that: “There is clear regulatory appetite for greater transparency and investor protection in bitcoin markets. LedgerX’s best-in-class technology and innovative products, paired with our surveillance capabilities, will support LedgerX’s goal of running a robust, federally regulated bitcoin options exchange and clearing house.”