 | |
| Company type | Private |
|---|---|
| Industry | Financial services |
| Founded | 2012 |
| Founders | Benjamin Blander Michael Rauchman |
| Headquarters | 353 North Clark, Chicago, Illinois, U.S. |
| Products | Proprietary trading Algorithmic trading High-frequency trading |
| Website | www |
Radix Trading is an American proprietary trading firm headquartered in Chicago. It has additional offices in New York and Amsterdam.
Radix Trading was co-founded by Benjamin Blander and Michael Rauchman. Blander was previously head of the high-frequency trading group of Citadel LLC while Rauchman was the chief technology officer of GETCO. [1] [2] [3]
In August 2017, Radix Trading opened an office in Amsterdam to expand its operations into Europe. Amsterdam was selected over London for several reasons, one of which being it having regulatory advantages compared to London due to Brexit. [4]
On March 27, 2023, the Commodity Futures Trading Commission (CFTC) filed a lawsuit against Binance and Changpeng Zhao in the United States District Court for the Northern District of Illinois, claiming willful evasion of US law and allegedly breaching derivatives rules. In the lawsuit, three unidentified trading firms were cited as "VIP" clients of Binance although they were not accused of wrongdoing. These firms were later identified as Radix Trading, Jane Street Capital and Tower Research Capital. According to the CFTC, Binance instructed Radix Trading to access its website through a virtual private network. Blander told The Wall Street Journal , that while Radix Trading traded on Binance for several years via offshore affiliates and a prime brokerage, he believed it had not done anything wrong. This was because anything related to cryptocurrency connectivity was legally vetted beforehand. He also stated the firm was cooperating with the CFTC regarding its investigation. [1] [5] [6] [7] On November 21, 2023, US authorities convicted Binance on multiple charges, including violations of the Bank Secrecy Act and vast money laundering schemes. Binance agreed to pay more than $4.3 billion in penalties. [8]
The Commodity Futures Trading Commission (CFTC) is an independent agency of the US government created in 1974 that regulates the U.S. derivatives markets, which includes futures, swaps, and certain kinds of options.
High-frequency trading (HFT) is a type of algorithmic trading in finance characterized by high speeds, high turnover rates, and high order-to-trade ratios that leverages high-frequency financial data and electronic trading tools. While there is no single definition of HFT, among its key attributes are highly sophisticated algorithms, co-location, and very short-term investment horizons in trading securities. HFT uses proprietary trading strategies carried out by computers to move in and out of positions in seconds or fractions of a second.
Flash trading, otherwise known as a flash order, is a marketable order sent to a market center that is not quoting the industry's best price or that cannot fill that order in its entirety. The order is then flashed to recipients of the venue's proprietary data feed to see if any of those firms wants to take the other side of the order.
MF Global, formerly known as Man Financial, was a major global financial derivatives broker, or commodities brokerage firm that went bankrupt in 2011. MF Global provided exchange-traded derivatives, such as futures and options as well as over-the-counter products such as contracts for difference (CFDs), foreign exchange and spread betting. MF Global Inc., its broker-dealer subsidiary, was a primary dealer in United States Treasury securities. A series of perceived liquidity problems and large fines and penalties dogged MF Global starting in 2008, and led to its bankruptcy in 2011.
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Changpeng Zhao, commonly known as CZ, is a Chinese-born Canadian businessman. Zhao is the co-founder and former CEO of Binance, the world's largest cryptocurrency exchange by trading volume as of November 2023. He resigned as the CEO in November 2023 after pleading guilty to a money laundering charge in the United States and was sentenced to four months in prison in April 2024.
Jump Trading LLC is a proprietary trading firm with a focus on algorithmic and high-frequency trading strategies. The firm has over 700 employees in Chicago, New York, Austin, London, Tel Aviv, Singapore, Shanghai, Bristol, Gurgaon, Gandhinagar, Sydney, Amsterdam, Hong Kong, and Paris and is active in futures, options, cryptocurrency, and equities markets worldwide.
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