Solana-based Pyth Network Partners with High-Frequency Trading Firm Virtu Financial After GTX & Jump Trading
Solana-based oracle solution Pyth Network has partnered with Virtu Financial, one of the global leaders in trading and execution services, to deliver institutional-grade market data to all decentralized Finance (DeFi) participants.
This decision to join the platform by Virtu was first announced in April by Jump Trading Group that followed a similar move made by fellow high-frequency trading firm GTS earlier this month.
Both Virtu and GTS are two of the biggest traders in the US stock market, while Jump is another major player in derivatives.
This is a step towards Pyth’s objective of building a decentralized, HiFi financial market data distribution platform as the world’s most sophisticated market participants seek better ways to distribute precise, real-time market data using high-performance blockchains.
1/ Yeah they really do.
It’s easy to take for granted that crypto exchanges offer their market data feeds for free, even the full order book feeds. For traditional asset classes, that’s totally not the case. https://t.co/oEPV5mxCUH
— Brett Harrison (@Brett_FTXUS) June 25, 2021
Virtu provides execution services to its clients and delivers liquidity across 25,000 securities spread over 230 venues in more than 50 countries. Joe Molluso, Virtu’s co-president, and the co-chief operating officer said,
“For something like this to succeed, the data needs to be something people can rely on — that’s where we see the opportunity to help.”
“I’m not sure anyone has a crystal clear picture of what it’ll look like in the future,” but “the end game could be very exciting.”
It will now publish its unique sets of equities, FX, and cryptocurrencies’ market data on Pyth Network for sophisticated asset pricing and consumption by smart contract using “ultra-fast, high-throughput low-latency blockchain with near costless transactions” Solana blockchain and other major blockchains. GTS CEO Ari Rubenstein said in an interview,
“We’re just donating the trading that we’re doing to this facility so that content can be more efficiently propagated to the investment community.”
“We think if you lower barriers to entry, you’ll get more trading and demand for risk transfer services.”
This is so big. @jumptrading + @VirtuFinancial + GTS + @LMAX puts a MASSIVE amount of market data into @PythNetwork. The market share of these trading firms is huge. And there is more to come… https://t.co/dHYTuOYtP6
— Peter Johns◎n (@TheChicagoVC) June 24, 2021
According to Douglas Cifu, CEO of Virtu Financial, Puth Network will become an integral part of the infrastructure in the quickly evolving DeFi ecosystem.
Meanwhile, Dave Olsen, the president, and CIO of Jump says with their data, which updates fast and is accessible by anyone, users will “now have a window into the insider market for prices of financial assets.”
For Olsen, who worked at JPMorgan for almost 25 years, “This is one of the most exciting things I’ve ever worked on.”
He sees parallels to when tech giant Apple first started letting developers make apps for the iPhone, and while no one could have predicted that something like Uber will emerge from that, the potential was clear, he said.