SFOX Partners with M.Y. Safra Bank to Offer Segregated, FDIC-Insured Bank Accounts
SFOX becomes the first cryptoasset prime dealer to offer access to federally insured accounts for traders and investors in digital assets
SAN FRANCISCO (May 14, 2019) — SFOX, a cryptoasset prime dealer and trade platform, announced today a new relationship with M.Y. Safra Bank to provide its traders with access to FDIC-insured deposit accounts to securely hold their funds. For the first time, FDIC insurance has been brought to the crypto dealer model, enabling traders direct access to their funds for fast, global crypto trading.
Approved SFOX users can access FDIC insured accounts with M.Y. Safra Bank through SFOX’s platform and benefit from FDIC insurance for up to $250,000, subject to applicable limits. For the first time in crypto trading, funds and institutional investors will also have the ability to request “Segregated FBO Accounts,” enabling them to keep their funds in their own name with the bank. This partnership represents SFOX’s latest effort to provide the best trading experience as the first prime dealer in the crypto sector, reducing counterparty risk and increasing ease of access to emerging crypto markets.
“SFOX’s partnership with M.Y. Safra Bank represents another step forward in our mission to provide our clients with the best place to trade cryptoassets,” said SFOX CEO Akbar Thobhani. “M.Y. Safra’s Bank proven track record of providing custom banking solutions to institutions and HNWIs made them the ideal choice for taking SFOX trading one step closer to the goal of a truly frictionless and reliable trade experience across all cryptoassets.”
The crypto prime dealer model, which SFOX pioneered in 2014, reduces traders’ exchange counterparty risk while also giving them access to cryptoassets from exchanges around the world, obviating the hassle of opening and managing multiple trading accounts while still allowing traders to take advantage of unparalleled global liquidity. Beyond making funds more secure, this new facility with M.Y. Safra Bank significantly reduces the time required to make funds available for trading, making trading more efficient. These product features are especially transformative for funds and institutional investors, who will be better equipped to fulfill their custodial obligations while still being able to easily access their funds when they need to trade quickly.
“M.Y. Safra Bank’s partnership with SFOX underscores our commitment to spearheading the best solutions within the newest domains of finance,” said M.Y. Safra Bank CEO Jacob M. Safra. “M.Y. Safra Bank stands at the vanguard of financial innovation, while maintaining the highest standards of financial security and stability. We continually strive to innovate in the banking industry, and SFOX was the ideal partner with which to extend this philosophy to the burgeoning domain of crypoassets.”
The FDIC-insured accounts will be available at sfox.com.
Founded in 2014, SFOX is a cryptoasset prime dealer, providing best trade execution through its platform that connects clients to liquidity sourced from all major crypto exchanges, all from one account. SFOX has performed over $11 billion in transaction volume and partnered with the largest high-volume traders and businesses in crypto, such as Blockchain.com and tZero. The company has raised $23M to date from investors including Khosla Ventures, DCG, Blockchain Capital, Tribe Capital, and Social Capital.
About M.Y. Safra Bank
Headquartered in New York with historical roots spanning the globe, M.Y. Safra Bank stands as a pillar of stability and banking excellence. For centuries, the Safra name has been synonymous with sustained trust and reliability and with prescient investments in burgeoning industries. M.Y. Safra Bank continues to apply old world banking values to contemporary innovation and enables its clients to reap the opportunities offered by innovative products. With a legacy of safeguarding assets in a turbulent world and building wealth, the Bank is ideally positioned to serve the needs of investors and the cryptoasset industry.
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