TMX, the Canada based operator of the Toronto Stock Exchange – TSX, has recently unveiled plans for starting a cryptocurrency brokerage platform. The venture will be launched by Shorcan Digital Currency Network (DCN), a wholly-owned subsidiary of TMX.
The platform will help clients to buy and sell the two most liquid cryptocurrencies – Bitcoin and Ethereum. It will partner up with Paycase Financial, which is a decentralized financial service while BMO Financial Service has agreed to provide banking related services.
Joseph Weinberg, the CEO of Paycase Financial is optimistic regarding Shorcan DCN’s cryptocurrency brokerage platform sighting it to be the first “true institutionalization of cryptocurrencies as an asset class.” He was also confident that the launch would help bridge the gap between mainstream finance and the growing crypto ecosystem.
Weinberg has said, “as the first ever public crypto brokerage desk by an exchange, this deal represents the true institutionalization of cryptocurrencies as an asset class, […] Paycase’s partnership with the TMX solved a major problem in the blockchain ecosystem. With this partnership, we have built the first major bridge between the crypto world and the traditional financial markets.”
Meanwhile, TMX concluded this venture would be a significant stepping stone to realize the firm’s digital strategy. TMX Group’s managing director of enterprise innovation and product development, John Lee commented, “Shorcan DCN represents a significant step forward in the execution of TMX Group’s digital strategy. As new technologies continue to reshape the global financial industry, we continue to explore new ways to evolve our business to address client needs in both traditional and non-traditional markets.”
Following the announcement, several cryptocurrency companies have started to seek public listings on the firm’s TSX venture exchange. Among these companies, most notable would be the crypto asset merchant bank, Galaxy Digital, founded by billionaire hedge fund manager Mike Novogratz.