We are reaching into a new world of cryptocurrency development. There have been lots of ups and downs in the cryptocurrency market, however, the world seem to get even more interesting. Institutional investors are getting pretty much interested in what crypto could offer their portfolios. The crypto market with a market cap less than $300 billion could benefit a lot as well from this investors that are presently in control of assets worth $130 trillion throughout the world.
However, the world of crypto haven't been able to convince most of this investors yet, because quite a number of them are not conversant with the system of managing trade in the world of crypto, as crypto market do not offer the sophistication most of them are conversant with in their commonplace trade. Most of them find it very hard to work without the use of automated tools.
What's Challenging Institutions From Entering into the Crypto Market ?
The Custody Challenge: Participants of various institutions find it hard to enter the crypto market because it is unlawful for investments funds to custody an asset worth more than $150 million in quite a large number of jurisdictions. These institutions have to keep their assets legally with trusted banks and financial organisations, that act as third parties. Thus, causing limitation and compliance problems in the crypto system.
Regulation: Regulation is another thing that's restricting traditional custodians from entering into the crypto market. This is because the retail investors and the financial systems find it hard to depend on the global regulators to minimize their risk due to poor handling of the blockchain technology which has altered innovation negatively.
The Challenge of Institutional grade Trading Platform: Another problem is that institutional investors are not satisfied with the trading landscape of Crypto market, because the crypto market are not capable to offer them most of the crucial infrastructure required by them to trade efficiently.
However, quite a lot of peoples predicted the continuous flow of huge money into the crypto market. If this prediction eventually come to past, this institutional investors would regret ignoring that. So, most of them had no choice than to enter the crypto market.
The good news here is that, as these barriers are being overcomed more and more by institutional investors, CASPIAN is here with a solution to make their entry smooth and easy like the back of one's hand.
CASPIAN is an ecosystem that makes use of suite of tools to provide solutions to the challenges facing investors of Crypto on a single user-friendly interface. CASPIAN is a joint venture between Kenetic and Tora, who have a excellent record in crypto market and the management of assets.
Kenetic is a blockchain firm obligated by a pledge to make use of advisory services, investments, community and technology, so as to facilitate the growth and adoption of blockchain platforms.
Tora is a supplier that is leading in the global supply of advanced investment management technology, which also include an OEMS which is an average of monthly notional equity volumes which is more than US$100 billions, and they are presently in control of 17% Japanese institutional equity trading volume.
But come to think of it, Some institutions have been trading crypto before the arrival of CASPIAN. The question now is this:
How does this Institutions Survive?
- Many clients manage their portfolios on Excel spreadsheets.
- They trade with the use of psyphon scripts, and
- They use multiple web interfaces.
But the issue with these is that they are going through a lot of pains for majority of funds with few exceptions although.Moreover, institutional investors face a whole lot of issues holding them back in their investment in the crypto market if they want to trade in a capacity which is professional.
The Problem of Unreliable Trade Execution
The problem of unreliable trade execution occur due to disintegration of the exchanges of crypto that are very common nowadays. There is need for investors to execute trade throughout a lot of exchanges, so as to put in place new strategies for investments. But the only way to do this at the moment is by keeping all your account for exchange open and using different interfaces to monitor them.
As a result of this, it becomes quite uneasy for institutional investors to maintain a compulsory target allocation. Additionally, the problem of liquidity and slippage also arises due to disintegration of crypto-exchanges.
Lack of Security
The issue of security have been a major concern to digital asset traders due to the known security risk that exists in the purchase of digital assets. There is also the issue of risk managements, which is an important elements of trading in any class of assets. The security of most crypto-exchanges are very weak and they are vulnerable to hacking.The available Crypto-exchanges do not possess a lot of the security features which is offered in the traditional market by trading platforms.
Lack of Reporting and Compliance
There is need for majority of the proprietary traders and fund managers to track various positions, risks and portfolios metrics making use of spreadsheets, because these participants must transact throughout a large number of venues that are independent for them to access the liquidity required of them to trade in large volumes. But the issues with this is that, the compilation of the sum of information needed for fund-wide reporting becomes totally difficult.
Caspian is an ecosystem designed to support the purchase of digital assets tools in a suitable and easy manner, which helps to bring volume, liquidity and active energy into the sector. This is achieved by making available sophisticated connectivity and the capabilities to interact and function with others reciprocally across various exchanges of digital assets.
CASPIAN prepare investors with a thorough skill of OEMS, PMS and RMS, which is supported by efficient customer support.
Order and Execution Management System (OEMS) - CASPIAN Solution for Fragmentation of Crypto Exchanges
CASPIAN completely customizable Order and Execution Management System (OEMS) offers a single trading interface across all exchanges which provides investors with the following abilities:
- Execution and amendment of orders
- Choice on the usage of Smart Order Router (SOR)
- Access to exchanges of major digital files
- Management of order shortcut
- Viewing of prices, depths and bids for exchanges
- Execution and management of margin across exchanges
- To conduct review for report generated from all activity
- To monitor performance throughout the useful life of orders.
- To define the intended plan of action for managing orders
CASPIAN offers a single interface system that matches the standard of institutions, thus, making it possible for institional investors and traders to avoid the fragmented nature of the market and easily connect with multiple exchanges without interruptions.
Portfolio Management System (PMS) - CASPIAN Solution for Management of Portfolio
CASPIAN Portfolio Management System (PMS) allows to view and track real-time and historical P&Ls (Position and Loss) at any time. It also help users to efficiently watch over their positions across all wallets and exchanges.
Risk Management System (RMS) - CASPIAN Solution for Management of Risks
CASPIAN Risk Management System (RMS) offers pricing and valuations precisely agreeing with standards, and completely restored positions, so there is only a single view of the portfolio throughout the firm. RMS also allow users to simulates the system for an outline of the model of expected or supposed sequence of events that generates risk metrics in seconds. Thus, allowing serviceable decisions to be made within a short period of time.
Other Benefits of PMS and RMS
Reestablishment of friendly relations: CASPIAN PMS and RMS together allows reconciliation among all parties to make sure transaction was done properly as agreed.
Restoration of balance: It allows rebalancing in multiple scenarios, to help generate orders which helps restore balance to fund in line with its objectives without putting a stop to it.
Allocation engine: Allocation engine allows a trader or investor to trade with a single exchange account and a single order allowing the trader to focus only on getting the best order execution.
CASPIAN Solution for Reporting and Compliance
- CASPIAN compliance system provides extremely low latency and multiple levels of functionality to skillfully manage the limits and rules of users including both the workflows of pre-trade and post-trade.
The CASPIAN reporting system gives users the opportunity to use, create, create or edit, and get hold of graphical reports on their position activity and trading in more than one formats at a particular moment in time. This in turn helps to give an insight on the present status at a particular moment.
The reports are also made available on a customizable web dashboard, so that users can view web-based visualizations, amend visualizations, and save the amended visualizations.
The Possible Future Impacts of CASPIAN in Cryptocurrency Market
CASPIAN would definitely have a lot of positive effects in the interaction of People with their cryptocurrency. It would help investors and users to interact with their digital assets on multiple exchanges using a single platform, which makes it easier for them to keep records. Efficient record keeping in turn helps in reestablishment of friendly relations and restoring balance in transactions. Efficient security which is one of the main issue of digital assets is also provided to users by CASPIAN
Moreover, The solution offered by CASPIAN for existing fragmentation would make the discovery of price very efficient. They also help investors execute trades and make sure they don't go more than their targeted allocation across various exchanges. Without any doubt, the efficient solution offered by CASPIAN would definitely bring in more influx of institutions, investors and traders into the cryptocurrency market.
Use Case For Individual
Dr Smith is a big fan of cryptocurrency. He is so much interested in being a big trader of digital assets, but he was equally afraid of taking the risk due to the vulnerability of exchanges to hackers when transacting on any of the exchanges. Good for him, after sometime, he came across a friend who introduced him to CASPIAN.
A single, user-friendly interface platform that has effective customer support and risk management capabilities for all customer protection, which is offered in traditional market by trading platforms.
With this, he started trading bit by bit in crypto, and after few months, he went fully into cryptocurrency knowing fully well that there is no cause for alarm, because he is fully covered by CASPIAN.
Use Case for Institutions
An institution that deals in bonds and stocks find it hard to manage orders because it's always hard for them to track or know when the price of an asset increases. Fortunately for them, one of their staff heard about CASPIAN and introduced CASPIAN to the institution.
CASPIAN is a single platform with predefined complex strategy which provides users with the capability to dictate the strategy to be used in the management of orders using an uncomplicated language that depends on rule.
With this, they created an order that executes when there is an increase in the price at specified percent increase for a specified period of time, and they get the highest possible profit at anytime without any fear.
The CASPIAN token with symbol "CSP" is an ERC-20 token built on the ethereum blockchain. The use of the CSP token helps make the users of the platform a community member having the full interest of the platform in mind which is brought about by assigning a utility that promotes the relationship of users to platforms, users to developers, and users to users.
However, the token is not a passport to enter into the platform. It is only meant to help improve the experience of individuals and institutional investors in trading with the crypto market.
Just as I have been singing a song of freedom all along, I mean the CASPIAN song of how to use a single platform to interact with multiple exchanges. I want you guys to be mindful of the crucial features and benefits of CASPIAN as they help to provide optimum security in cryptocurrency market coupled with the ease of executing and managing order, as well as getting the highest possible profit out of it.
With the presence of all this beautiful features of CASPIAN, then you guys should be prepared to see more influx of individual and institutional investors into the cryptocurrency market.
