Vanguard, a mutual fund giant of the financial industry, has started a partnership with Symbiont, a company backed by Nasdaq Ventures. Together, these two firms are set to develop a $6 trillion currency market platform focused on forex trades.
The main idea of the platform is to lower costs. Vanguard manages $5.2 trillion USD for very wealthy clients and it wants to decrease transaction costs without cutting its profits, so using the blockchain is a pretty good idea.
The CEO of Symbiont, Mark Smith, affirmed that the platform has been operational for around two months and that some of the first trades were already. Despite the progress, the platform was still not properly launched, as there are still some tweaks to be made.
Symbiont, which was founded in 2013, has raised over $35 million USD. The company had a seed round in 2014, a Series A in 2017 and recently a Series B round, in which it was able to raise over $20 million USD.
A spokesperson from Vanguard affirmed that the company is currently piloting the project to improve the efficiency of forex trades and reduce risks, which could help it to provide a much more efficient service. If the project is successful, it will certainly be an important milestone for Wall Street, as there is no similar platform at the moment.
The two companies have already worked together before. The two developed an index fund back in 2017 that would streamline the process of data collection using smart contracts.