To launch a special brokerage service to provide data and investment advice on cryptocurrencies such as Bitcoin and Ether, the pioneering TMX division of the Toronto Stock Exchange is partnering with Paycase Financial.
The partnership will aid the TMX group subsidiary Shorcan Digital Currency Network build data benchmarks and provide information on the ongoing status and prices of various cryptocurrencies.
Paycase will aid in building the technology to create the ongoing data benchmarks and indices based on consolidated data from different global cryptocurrency exchanges and from international, over-the-counter trading volume.
Marketing these indices with associate technology worldwide is the long-term goal of the venture.
In a news release, TMX Group Enterprise Innovation & Product Development Managing Director John Lee said: “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.”
Toronto-based cryptocurrencies startup Paycase which the firm partnered with is best known for its mobile-first remittance platform and service. Paycase’s Financial CEO and OECD think tank special advisor Joseph Weinberg said “We are thrilled about this partnership between Paycase Financial and the TMX. As the first ever public crypto brokerage desk by an exchange, this deal represents the true institutionalization of cryptocurrencies as an asset class.”
In the past, the TMX Group has embraced new innovation, listing new cryptocurrency and Blockchain sector startups, as well as new medical marijuana companies.
Weinberg adds, “With this partnership, we have built the first major bridge between the crypto world and the traditional financial markets. This is just a taste of more things to come from the collaborative and tight-knit Canadian community as we build out more products for the world.”
Blockchain Association of Canada Executive Director Kyle Kemper said, “This partnership signifies a collaborative convergence of regulators, financial incumbents and innovators that could open the floodgates for digital currency adoption across new markets.”
He also said that the announcement is simply the tip of the iceberg for the Canadian Blockchain industry. He expects to see more partnership and collaborations between innovators and sector leaders in the industry “to realize the benefits of this new paradigm shift.”