MultiBank Group has enhanced its dominance in the prime brokerage trading industry with the launch of MEX Exchange, an institutional investor electronic communication network (ECN). Announced yesterday (Monday), the company claims the ECN is the first based in the BRICS and GCC countries.
A New Institutional ECN
The ECN is offering liquidity on spot FX, precious metals, and commodities, according to its website. The new platform is headquartered in Dubai and has plans for expansion with over 20 offices globally.
In the official announcement, MultiBank also highlighted that it is challenging the dominance of the USA and Europe in the global ECN market with its new Middle-East-based platform.
“Today, we unveil a major project that will reshape the 2024 Financial World Order,” said Naser Taher, founder of MultiBank Group. “Within two to three years, MEX Exchange will have a profound global impact, delivering substantial financial returns and profits. As the only ECN inter-bank trading platform based in the GCC and BRICS countries, we’re at the forefront of change and innovation.”
The Backbone of FX Markets
ECNs are very popular in spot FX markets. Without a central exchange for currency pairs, brokers use ECNs, a computerised system, to automatically match buy and sell orders. Further, ECN brokers also offer higher execution speed and transparency compared to those following the STP model.
MultiBank highlighted that its ECN exchange was developed under the direct supervision of Taher and the CEO of MEX Exchange, David Ogg, who also founded HotspotFX, which is recognised as the first institutional ECN. After spending 40 years in the trading industry, Ogg joined MultiBank last year in February.
Meanwhile, companies are also recognising the application of ECNs in crypto trading. Last year, CrossOver Markets, a company founded by two former prime brokerage executives at Jefferies, launched CROSSx, an execution-only cryptocurrency platform, which handled more than $3.15 billion in trading volume in the first three months of 2024.
