Aussie Crypto Provider to Offer Derivatives with Prime Brokerage FalconX Partnership

Australia-licensed MHC Digital Group has inked a partnership deal with the crypto prime broker FalconX to provide digital asset derivatives to the Australian wholesale market. Announced today (Monday), MHC's trading platform, MHC Markets, will introduce “a comprehensive suite of digital asset derivatives, options, and structured products” through the partnership.

Targeting the Aussie Institutions

Operating with an Australian Financial Services (AFS) licence, MHC Digital Group was founded by Australian venture capitalist Mark Carnegie, who serves as the Executive Chairman. The company was established in 2020 and is headquartered in Australia. The MHC Markets unit, launched in Q4 2024, focuses on offering crypto liquidity and trading.

In February 2022, MHC Digital Finance, a subsidiary of MHC Digital Group, was acquired by Intraco Singapore. However, this acquisition was later terminated.

“Partnering with MHC, with its deep understanding of Australian investors and proven track record in digital assets, is a significant milestone in FalconX’s expansion across APAC,” said Matt Long, General Manager, APAC and Middle East at FalconX.

“MHC’s market expertise and innovative approach, combined with our derivatives capabilities, will allow MHC to provide Australian wholesale investors with a wide suite of digital asset products within Australia’s sophisticated capital markets,” he added.

Rising Demand for Crypto Prime Brokers

When it comes to crypto prime brokerages, FalconX is one of the top providers. It was valued at $8 billion when it raised $150 million in 2022 from investors, including Tiger Global, GIC, and B Capital. The company, founded in 2018, has raised a total of $430 million across multiple funding rounds. It launched a dedicated forex desk in London, offering access to 20 FX pairs.

Earlier this year, FalconX acquired Arbelos Markets, a crypto derivatives startup launched in 2023. Recently, Ripple acquired Hidden Road, another crypto prime broker, for $1.25 billion.

The partnership between MHC and FalconX comes at a time when demand for cryptocurrencies is rising in Australia. The institutional interest in the asset class is also evident with the launch of Bitcoin futures investments in late 2024 by AMP Capital.

“Our combined expertise creates a powerful offering for Australian wholesale investors who have a proven history of utilising derivatives in traditional asset classes,” said Edward Carroll, Head of MHC Markets.