London Becomes the Largest Cloud-Based Infrastructure Centre for Crypto Trading
Major growth in the trading of cryptocurrency assets, including during the Covid-19 pandemic, is driving demand for low latency access to AWS in London from sophisticated institutional investors, operating in the derivatives market in particular.
Since the start of this year, 30% of Avelacom clients already involved in crypto trading have begun to access AWS London, and the global connectivity provider expects this to rise to 50% within months.
Digital assets are characterised by high volumes traded across multiple regions, which now includes London as more cryptoexchanges and trading firms deploy their cloud-based infrastructure using London as a start-point. For cryptoexchanges located in the Cloud, low latency connectivity between regions across Asia-Pacific and the US are essential. As trading from London increases, low-latency access between all three regions has become more important.
"Triangle arbitrage", strategies requiring trading with more than three exchanges is particularly popular, requiring maximum network performance and the freedom to access exchanges across multiple clouds, data centres and global locations. Bandwidth requirements are also increasing, demonstrating further interest in this market from institutional traders. To facilitate these requirements Avelacom has optimised its network capacity and routes to provide digital asset traders with the best-in-market low latency connections.
"Throughout the last few months we've seen high volumes across all asset classes, but the biggest growth continues to be in digital assets, now also reflected in London," said Aleksey Larichev, CEO of Avelacom."March was challenging because strategies couldn't be adjusted quickly enough, but now we're seeing real growth again."
He added, "We were pioneers in understanding the future importance of digital asset trading and the need for low latency connectivity, connecting quickly to new destinations and clouds such as Dublin, Ashburn, Portland and Seattle. This infrastructure is facilitating all existing and new clients, particularly in London currently, as their digital assets trading needs escalate."