Nasdaq, Morgan Stanley and Visa began the project Apifiny in 2019. They created a new platform named ExOne. As the crypto markets are very diversified worldwide, the companies want to offer traders the possibility to choose which market suits their needs the most. ExOne is essentially a tool, which gathers information about cryptocurrencies’ prices on the different markets and offers all the data to the traders.
David Weild, a former vice-chair of Nasdaq, stated that if pipes, as he called information sources, don’t see every venue, then the investors risk getting a much worse execution. So ExOne is the plumbing to the more interconnected and consolidated trading experience, laying those proverbial pipes.
As Wield noted, ExOne will secure the most optimal bid for the system’s users by accessing all the marketplaces to generate a “global best bid and offer,” a consolidated quote. The stock markets already use this practice called “national best bid and offer.”
It’s a Wall Street term for a broker’s Security and Exchange Commission-mandated responsibility to get their clients the best possible price.
What caused the need for ExOne?
The crypto markets around the world are relatively new and diverse. Bid discrepancies are a usual occurrence. Moreover, investors are often at a disadvantage when choosing one market without the knowledge of the others’ prices.
David Weild stated the crypto marketplaces are highly fragmented and remarkably inefficient. Additionally, real-time bids can differ by thousands of dollars from one market to the next. And the investors who are used to access consolidated marketplaces, find bid discrepancies a major turn off.
Finally, that’s why Nasdaq, Visa, and Morgan Stanley, addressed this problem. They want to create a fair environment for all traders worldwide. So, they began building a liquidity solution for the world’s different cryptocurrency markets. Thus, even though the project is in motion, so far, Apifiny has not announced ExOne’s release date.