FalconX Joins Lynq Network Boosting Liquidity 400%

FalconX, a prominent
prime brokerage, has joined forces with Crypto.com as a partner for the Lynq institutional settlement network. This collaboration marks a significant milestone in the development of Lynq, a real-time, interest-bearing settlement network designed to enhance capital efficiency and address market fragmentation, counterparty risk, and evolving regulatory frameworks. FalconX, which boasts access to over 400 tokens, will serve as both a participant and a liquidity provider on the Lynq network. This partnership is expected to drive liquidity and growth for the network, leveraging FalconX's extensive client network and broad range of product offerings.The addition of FalconX to the Lynq network follows the integration of Crypto.com, the world’s leading USD support exchange, and Fireblocks, which offers access to over 2,000 clients through its interface. This growing consortium of partners, including B2C2, Galaxy, and Wintermute, signals a strong alignment around Lynq’s mission to deliver real-time settlement solutions. The network, developed through a collaboration between
Labs, Tassat Group, and tZERO Group, with key support from Avalanche and U.S. Bank, aims to provide a compliant and scalable settlement platform for the digital asset industry.Jerald David, CEO of Lynq, highlighted the significance of FalconX's involvement, stating that as a trusted prime brokerage and one of the largest participants in the market, FalconX will be instrumental in unlocking liquidity for the network. The partnership is expected to offer mutual clients a compliant solution that meets the needs of institutional market participants. Bob Rutherford, VP & Head of Operations at FalconX, echoed this sentiment, emphasizing the importance of building infrastructure that delivers tangible client benefits, such as enhanced capital efficiency, real-time settlement, and increased interest.
Lynq's commitment to creating a unified, scalable settlement platform in partnership with leading digital asset and financial institutions underscores the industry's recognition of the need for next-generation infrastructure. The continued support for this solution reinforces the importance of developing infrastructure by the industry, for the industry. FalconX's onboarding strengthens Lynq’s foundation, expanding its network and accelerating the shift toward scalable solutions that benefit the entire industry.
In the realm of digital assets, settlement is the final stage where funds are transferred between parties, and the transaction is recorded on the blockchain. Examples of settlement processes include sending tokens from one party to another, releasing collateral stored in a contract, and token generation events where tokens are automatically distributed to investors. Lynq aims to provide a solution that addresses evolving regulatory frameworks and counterparty risk, which are crucial for institutions adhering to strict regulations and looking to launch crypto products.
Lynq's platform is designed to offer access at no cost to participants, with transactions on the network not subject to transaction fees. The platform's revenue is derived by taking a small portion of interest from the portfolio. This approach aims to make the settlement process more efficient and cost-effective for institutional participants. The platform is set to enter its final user acceptance testing phase, marking a significant step towards its official launch.
The impending launch of Lynq may signal growing interest among institutions toward digital assets, especially for stablecoins, which are becoming more widely used in settlement processes. Stablecoins offer several benefits over traditional fiat currency, including reduced transaction costs, faster settlement times, and improved liquidity. These advantages are particularly pronounced in cross-border transactions or regions where reserve fiat currencies are held in low supply. The increasing adoption of stablecoins by institutions highlights the potential for digital assets to revolutionize traditional financial processes.

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