Today, Connamara Technologies announces the release of the new Trade Clearing API for EP3.
An exchange using a central limit order book is responsible for managing the transaction that occurs when the price of a buy order matches that of a sell order. What happens next, post trade, is the clearance and settlement of the trade. This is, among other things, where the buyer transfers the funds used to buy the asset to the seller, and the seller transfers the purchased asset to the buyer. This process is loosely called Trade Clearance and Settlement.
While EP3 does provide the functionality for the clearance and settlement of trades made in the EP3 matching engine, some Exchange Operators choose to use third-party clearing and settlement services for this process.
Because EP3 offers the Trade Clearing API, Exchange Operators can create the workflows and interactions necessary to utilize the services of third-party clearing providers.
The EP3 Trade Clearing API allows exchange operators to interact with third-party clearing platforms by:
- Reporting to the clearing platform
- New transactions and block trades made on EP3
- The cancellation of previously reported trades
- Receiving reports from the clearing platform of
- Trades that have been rejected by the clearing platform
- Cleared volumes and open interest for instruments traded on EP3
At Connamara Technologies, we continually strive to improve how our customers interact with the EP3 platform. A key pattern we put in place when we first designed EP3 was to allow our customers to interact with the functionality and data within EP3 via a set of well-defined and easy-to-use APIs.