Paradigm Exceeds $1.5 Billion in Derivatives Trades, Announces Strategic Financing Round

Published On

July 1, 2020

We are delighted to announce a strategic financing round led by some of the most respected firms in the digital currency ecosystem including Dragonfly Capital, Digital Currency Group, OKCoin Ventures, Bybit Fintech, Alameda Research, CoinShares, and Yleana Venture Partners. This follows a 2018 financing round led by Vectr Fintech Partners, who also participated in this current round and serves on our board.

This financing enables us to: 1) expand our list of supported exchanges and assets, 2) expand our suite of automated trade execution tools, and 3) grow our presence in Asia. In addition, we are excited to welcome our exchange partners OKEx, Bybit, and FTX (via Alameda Research), not only as investors, but as strategic partners. We will be integrating with these venues to add their markets to our platform and bring innovative new trading capabilities to our clients.

We also welcome Jing Tan, our new Community Manager in Beijing who will be helping us grow our relationships with our Mandarin and Cantonese speaking clients. You can connect with Jing via WeChat (ID: jing_t2020) or join our Telegram.

Trade Anything, With Anyone, and Clear It Anywhere

Paradigm launched in August, 2019 with a simple mission: Trade anything, with anyone,  and clear it anywhere. We believe the future of capital markets trading will be built on a dynamic infrastructure layer that simplifies trader workflows, drives automation and provides access to a wide range of assets, counterparties and venues in one place.

In our first 9 months, we have grown steadily to more than 180 institutional clients trading over $1.5 billion in futures and options block trades on Deribit and the CME, establishing Paradigm as the industry standard for institutional options liquidity and multi-leg execution. Our ambition, however, has always been to offer our clients a single point of access to a multi-venue, multi-product liquidity ecosystem.

Today, we are excited to announce the upcoming launch of the second generation of our flagship RFQ product: Automated, multi-dealer request for quote (RFQ) trading!

A Sneak Peek at our Multi-Dealer RFQ Platform

Clients will now have the ability to aggregate liquidity from multiple market makers for custom RFQ structures with the click of a button. Think Kayak for Block Trades: we help you discover the best price for custom or large size trades in one place, with one click! This is a game changer for the industry, bringing the platform on-par with traditional capital market offerings such as TradeWeb and MarketAxxes. It also represents an exponential improvement over the current manual, single-dealer RFQ model and will include the roll out of our API to both price takers and makers which has been the #1 request from our clients.

Liquidity Access Point to the Institutional Trading Ecosystem and the Genesis Volatility Partnership

Our primary role is serving as a liquidity access point to institutional buyers and sellers for large and/or multi-leg orders. Traders on Paradigm get better-than-screen prices (including often times at mid pricing), and for much larger sizes, by connecting directly with dealers in the Paradigm network. Paradigm also provides all the workflow automation tools necessary to facilitate complex, multi-leg and multi-product strategies with underlying hedges via a single executable structure. This allows for riskless execution for both counterparties since all legs and hedges are executed as one single block, as opposed to piecing the trade together manually on screen.

Our Powerful Platform Allows for Complex, Multi-Leg Trades to be Executed with One Click!

Beyond our primary role focused on access to liquidity and providing institutional-grade trade-execution, we continue to look for product partnerships that complement trader workflows on our platform. We are excited to collaborate with Genesis Volatility (GV), an options analytics platform that helps professional derivatives traders analyze realized and implied volatility relationships. We believe that the combination of our expertise in trade execution and GV's rich suite of analytics and real-time portfolio stress testing (to be released) will help our users generate additional trading insights, better manage portfolio risk and drive more engagement across the Paradigm platform.

This is truly an exciting time for Paradigm and we look forward to delighting our clients with beautiful, simple trading experiences for the rest of 2020 and beyond.

To our clients, investors and partners: thank you for your trust and support, without which none of this would have been possible!

Onward and upward…

The Paradigm Team 💜