.svg)
On Monday, Tesla announced it purchased $1.5 billion in Bitcoin to hold on its balance sheet. It joins other publicly traded companies like Square, Microstrategy, renowned private investors like Tudor Investment Corporation and Stanley Druckenmiller, along with thousands of private corporations that have purchased Bitcoin as an inflation hedge.
Beginning in December, Elon Musk questioned whether there was enough liquidity in the market to execute over $1 billion Bitcoin purchase.
Over the past few years, we’ve seen the cryptocurrency market structure evolve significantly, with firms leveraging technology to facilitate large institutional purchases. FalconX works with over 300 of the market’s most sophisticated institutions, providing trading, settlement, and clearing across top cryptocurrency pairs.
On the backend, FalconX uses data science to access robust liquidity through a combination of lit liquidity pools (exchanges) and proprietary dark pools – combining the broader market’s liquidity into a single account for its clients. FalconX acts as a riskless principal dealer – meaning clients only ever interact with FalconX but get access to the broader market’s liquidity.
Great pricing: our technology and principal structure allows FalconX to deliver clients better pricing and execution quality than smart order routers or agency brokerages – which incur greater execution costs, slippage, and exchange fees. There’s no middleman involved; FalconX owns its own balance sheet, guaranteeing its customers access to deep liquidity.
Trading algorithms: curated to the client's needs – minimize market impact, minimize time for execution, minimize cost of execution, etc. To date, our Markets Team often saves clients 8% or more on using personalized TWAPs.
How institutions should get into crypto.
