Australia and New Zealand Banking Group (ANZ) has become the latest major bank to adopt CobaltFX's Dynamic Credit platform for managing credit exposure in foreign exchange trading.
ANZ Joins CobaltFX to Streamline FX Credit Management
By joining CobaltFX's platform, ANZ can access real-time, centralized credit management capabilities across multiple interbank trading venues. This allows the bank to dynamically distribute credit availability from a single global limit set, optimizing market access while reducing credit usage.
"This new approach to credit management has helped eliminate carve-outs and reduce credit usage while improving our market access," David Thorne, ANZ's Head of eFICC Europe and North America, said. "This capability benefits our customers, counterparties, and the bank."
CobaltFX, a fintech firm under the United Fintech umbrella, specializes in automated pre-trade and post-trade infrastructure solutions. Its platform empowers financial institutions to tap into deeper liquidity pools while deploying less credit and minimizing operational risks.
"It's a pleasure to welcome ANZ to the CobaltFX community of market leaders who are dedicated to transforming the nature of the FX market by reducing risk and enhancing market access for all," added Darren Coote, the CEO of CobaltFX.
The company recently unveiled a new post-trade messaging service. Spearheaded by Andy Coyne, this initiative aims to address the Single Point of Failure (SPoF) challenge in the FX industry's post-trade operations. The SPoF has been exacerbated by years of market consolidation, posing a threat to the stability of the global financial ecosystem.
Cobalt’s Recent Collaborations and Partnerships
In 2023, CobaltFX's parent company, United Fintech, announced that BNP Paribas and NatWest had adopted its Dynamic Credit solution. This cutting-edge technology optimizes credit allocation for FX transactions, simplifying the entire process while offering improved market access and control.
Earlier, Puremarkets Ltd, trading under Pure Digital, partnered with CobaltFX to bring efficient credit and post-trade solutions to the market. Institutional customers can now trade on the platform using bilateral credit, streamlining their operations.
CobaltFX has been a part of United Fintech since the end of 2022. With nine years of experience in the financial markets, Cobalt provides shared ledger infrastructure to financial institutions in digital assets and currency trading. The platform leverages blockchain -inspired technology to simplify and streamline traditional trading systems.
