Barely a week after Nadex announced its latest market maker to join as a member of its binary options exchange, as covered by Forex Magnates, today Nadex announced its newest one – Doyen LLC – which has joined as a designated exchange market maker on Nadex for a number of its listed contracts including FX.
US-based Doyеn LLC is a subsidiary of EXP (capital) Limited, a privately held trading firm domiciled on the Isle of Man and operating throughout the UK and European markets, according to a description in the announcement.
The expected benefit of the addition is that Doyen will make markets across some of Nadex’s most heavily traded pairs, including AUD/USD, GBP/USD,EUR/JPY and USD/JPY, and across multiple contract expiries such as intraday, daily and weekly binary options, in order to deepen the exchange’s liquidity and help tighten spreads.
Commenting in the official press release issued by Nadex, Viktor Prokopenya, CEO of EXP (capital) Limited said, “Joining Nadex as a market maker provides us with the ideal opportunity to leverage the benefits provided through the contracts available on the exchange.”
Mr. Prokopenya concluded regarding his firm’s background in Foreign Exchange, “We are very active in the FX market, as well as in other markets and believe that the additional liquidity and tighter spreads provided to traders on Nadex, as a result of Doyen as a market maker, can make this segment even more attractive to members.”
A profile for Mr. Prokopenya on LinkedIn reveals that he has won the Belorussian Entrepreneur of the Year award on three occasions and has a strong academic background with multiple degrees, as well as ongoing academic pursuits.
Commenting in the official press release, Tim McDermott, CEO-designate at Nadex said, “We look forward to working with Doyen as a market maker,” and concluded, “As a part of our overall strategic goal, we are actively exploring ways to provide an enhanced trading experience through the addition of market makers and futures commission merchants (FCMs). With increased liquidity and tighter spreads, retail traders are better able to capitalize on popular markets based on the underlying spot price and find trading opportunities with limited risk short-term binary options contracts.”
The addition of market makers to the exchange should serve it well provided that the trading volumes dependent on such dealers continue to grow as well. As binary options are starting to appeal to traders globally, evidenced by the trend of brokers launching related products, as well as to the Forex trader segment, the U.S. could lead by example for a regulated binary options market structure, or in the U.K. where multilateral trading facilities (MTFs) are the closest match. For now, outside of those regulated venues binary options remain traded mostly in the over-the-counter markets, and bring along with them regulatory risks as well as conveniences.
Original story by Forex Magnates.