Nasdaq and One Trading to explore opportunities to combine their market infrastructure expertise, global reach and advanced derivatives technologies to support market innovation and enable 24/7 trading of equity futures.

One Trading, the European regulated derivatives trading venue building next-generation technology designed to support continuously operating markets, announced a strategic investment from Nasdaq Ventures. The investment reflects Nasdaq Ventures’ focus on investing in technologies that can support the continued modernization of global capital markets and establishes a foundation for Nasdaq and One Trading to explore future areas of collaboration.

One Trading’s unified deterministic trading, risk and settlement platform is designed to support cross-collateral netting, continuous settlement, and auto-liquidations at scale. This results in less locked margin and eliminates the need for a mutualized default fund. The platform combines features associated with digital asset markets, including 24/7 trading and auto-liquidations, with the protections and transparency of a regulated European trading venue.

“Nasdaq Ventures shares our belief that markets must continue to evolve to better support clients’ liquidity and capital needs,” said Joshua Barraclough, CEO of One Trading. “We believe the future of derivatives markets will be shaped by advances in technology, risk management and market infrastructure that make markets more efficient, responsive and resilient. Together, we see an opportunity to explore new approaches to derivatives innovation and help define the next generation of market infrastructure.”

Alongside the investment, Nasdaq and One Trading are exploring opportunities to bring together Nasdaq’s experience in developing advanced market infrastructure, global distribution and client relationships with One Trading’s cloud-deployed low-latency trading and risk engine, along with their unique regulatory position in the EU. As part of the collaboration, the companies will evaluate opportunities to modernize derivatives market infrastructure and expand the suite of products available to market participants, including long-dated futures.

“At Nasdaq Ventures, we look for teams building disruptive technologies that are uniquely positioned to expand liquidity and transparency while addressing market participants’ needs — advancing the modernization of capital markets,” said Gary Offner, Global Head of Nasdaq Ventures. “One Trading has developed a differentiated approach to integrating trading, risk management and settlement, and we believe the company is well positioned to play an important role in the evolution of derivatives markets.”

Source: One Trading