Former Credit Suisse Executive Launches Crypto Trading Platform for Financial Institutions

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Sujha Sundararajan

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Sujha Sundararajan

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December 18, 2023

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A new Zurich-based startup Rulematch is creating a customized crypto trading experience for banks and securities firms. The trading venue is launched by a former Credit Suisse executive David Riegelnig.

Rulematch has commenced Bitcoin (BTC) and Ether (ETH) spot trading against USD to clients in most of the European Union, the United Kingdom, and Singapore, a Bloomberg report noted.

The cutting-edge crypto company focuses on traditional financial powerhouses, operating solely as a trading platform. This feature sets the startup apart from other exchanges that typically offer a mix of services such as custody of assets.

Riegelnig left the now-collapsed Credit Suisse bank in 2015, after serving as the head of operational risk in private banking. He noted that Rulematch does a “vibrant scene” in Europe, the UK and certain Asian countries where few financial institutions have ventured into the crypto market.

“That’s a group which is sometimes overlooked,” he noted.

Rulematch has raised $14 million from key investors including ConsenSys Mesh, Flow Traders and FiveT Fintech, the company executives said. It is also planning to run a fresh investment round soon.

The crypto trading startup currently serves seven banks and securities firms including German-based DLT Finance and Spanish multinational bank BBVA.

How Does Rulematch Function?

Rulematch uses Nasdaq-developed software for matching trades, monitoring risks and identifying any market abuse, a company release said.

At launch, Flow Traders and Bankhaus Scheich Wertpapierspezialist will serve as Rulematch’s market makers. Participant institutions trade in an anonymous central-limit-order book with liquidity guaranteed by these market makers.

Flow Traders works with platforms that enable the institutionalization of the digital asset market, says Michael Lie, head of digital assets at Flow Traders.

“Working with Rulematch aligns with this objective and by being there as day one market maker, we can provide the institutional grade liquidity desired by financial institutions to support the adoption of digital assets and contribute to improving the broader financial ecosystem.”

Rulematch participants can trade with up to 75% less up-front liquidity needed. This is because the platform facilitates multilateral net settlement among participants, allowing them to trade in a highly capital-efficient manner.

Rulematch has partnered with a Swiss bank – Luzerner Kantonalbank AG (LUKB) – to handle participants’ fiat funds used as collateral, the release added.