Both FCA regulated, Koine and GC Exchange Limited (GCEX) partner to provide global client-base with segregated custody and settlement on digital assets and fiat.
According to a release, GCEX will use Koine’s custody and settlement services, allowing GCEX’s clients to benefit from Koine’s platform for both fiat and digital currencies. Koine’s proprietary technology will support GCEX, which allows for the deposit and extraction of value in a number of digital assets and FX pairs.
GCEX will also use Koine’s paying agency service, designed to reduce costs and improve security. This service allows clients to send digital assets directly to the GCEX-labelled hub on the Koine platform. The use of hot and cold wallets will be minimized, reducing the number of transactions between the two platforms and making the movement of assets more secure.
Koine customers gain access to a post-trade solution from a business licensed by the UK’s Financial Conduct Authority (FCA), a service specifically designed for institutional investors.
Koine’s security model uses a service called “Digital Airlocks,” replacing cold storage and hot wallet models that may expose private keys to humans and results in “poor operational scalability.” The company claims that by combining this new digital asset security model with fiat custody and DvP settlement, Koine provides a post-trade solution that is suitable for traditional capital markets.
Hugh Hughes, Chairman and CEO at Koine, said they are thrilled to enter into the partnership with GCEX and they have already seen a positive industry response to Koine’s secure, scalable institutional-grade solution for custody and settlement.
“By working with fellow industry innovators, we know that, together, we will deliver the infrastructure and service our clients need to protect and fully leverage the potential of their digital assets. GCEX’s proven experience and valuable insight into the digital asset exchange market, as well as their global appeal thanks to the wide range of currency off-ramps they offer, will be tremendously beneficial to Koine’s development as we continue to go from strength to strength in 2020,” said Hughes.
Lars Holst, CEO at GCEX, said the partnership was taking place at a pivotal time in the digital assets space.
“In choosing Koine as the custody and settlement provider for our clients, we will be able to extend our reach into institutional capital, and further capitalize on our advantage of offering a range of currency off-ramps, further reinforcing our position in the global exchange ecosystem.”