Virtu Sees Crypto Market-Making Opportunity, Has Little Confidence in Incumbents, CEO Says
Virtu Financial's CEO is positive on building a crypto marketplace with Citadel Securities.
Virtu Financial (VIRT) sees a market-making opportunity in crypto as demand for the asset class grows, CEO Douglas Cifu said Wednesday during Piper Sandler’s global exchange and brokerage conference.
Cifu said he doesn’t hold a view on the crypto sector apart from wanting to build a proper ecosystem for institutions and thinks there’s a lack of confidence in the incumbent companies.
Citadel Securities approached New York-based Virtu, a high-frequency trading and market-making firm, on creating a crypto marketplace, according to Cifu. He sees room to collaborate in creating a platform that can scale, and one in which institutions have trust and want to participate should interest in crypto grow.
“I don’t think that there’s a great deal of confidence” in a lot of the incumbents or newer players in the space, Cifu said. “Citadel is an amazing firm, and they’re a great partner.”
CoinDesk reported earlier this week that U.S. electronic trading giant Citadel Securities is working with Virtu to build a “cryptocurrency trading ecosystem,” with venture capital firms Sequoia Capital and Paradigm also participating. Citadel Securities is the sister company to hedge fund giant Citadel.
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.
Learn more about Consensus 2023, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.