LMAX Digital conducted a survey this spring among institutional market participants to better understand institutions’ needs in the crypto space and identify infrastructure gaps. The institutional market participants include banks, funds, asset managers, proprietary trading firms, HFTs, brokers, and corporates. The result, shared with Arcane Research, shows what’s important for this group of institutional bitcoin traders.

This blog post is an extract from our latest report: “The Bitcoin Trading Ecosystem”.

Trading and choice of execution venues

The institutional market participants were asked about the most important factors that they consider when selecting a cryptocurrency trading venue. As seen from the chart above, three factors stood out: 1) Reliability of technology (i.e., 100% uptime), 2) low latency and certainty of execution, and 3) depth of liquidity.