WHAT WE DO
Since 2010, Touch-Fire has pioneered a stream of innovative solutions for our customers in the Finance Industry. Our dedication goes beyond just providing software; we partner with you to create large-scale custom solutions tailored to your unique challenges. Through our center of excellence, and our existing rapid development framework, we equip our team with specialized skills and insights, ensuring you receive cutting-edge solutions for every project.
Futures Exchange solutions and initiatives to improve efficieny.
From individual components to complete end to end Crypto Exchange solutions.
Our broker customers use our platform in order to be able to offer their client the same level of service as Tier 1 Global Brokers, but at a much lower price point.
MARKETPLACE & BLOCKCHAIN
We can help your business to succeed in a changing regulatory landscape & technology
Our solutions are based on a common high performance architecture designed to cover all of the requirements expected in regulated financial institutions. Touchfire has been supporting different business models through the years, and keeping up. We believe in innovation and continuous improvement to achieve sustainability and deliver timely and operative solutions.VIEW OUR JOURNEY TO THE CLOUD
CUSTOM SOLUTIONS AND MARKETPLACE CONSULTING
Our team of senior partners has over 30 years of experience building solutions for exchanges, brokers, and marketplaces. We can help you with projects of all sizes and complexity, from designing a new marketplace to integrating our solutions with your existing systems.
- Save time and money by leveraging our expertise and experience.
- Get a custom solution that meets your specific needs and requirements.
- Reduce the risk of project failure by working with a team of experts.
- Improve your operational efficiency and scalability.
- Meet the needs of increasingly diligent regulators.
Because not every marketplace is the same!We can help you design a marketplace solution for your particular vision. This may include traditional financial markets (eg. ECN, MTF, Crossing networks, Dark Pools, trade matching system) or crypto markets (centralised exchanges, DEX, swap pools) or hybrid markets. We can help identify how these solutions can add value to your marketplace ecosystems while meeting the needs of increasingly diligent regulators.
With a project focused development team, and a live operations team supporting multiple customers in regulated financial service environments, we are able to support both new exploratory initiatives and exchange or broker projects.
We apply a combination of existing available components and custom build features and integrations to create highly efficient solutions, tailored to your needs, at a cost equivalent to off-the-shelf components from our competition.
EXCHANGE PLATFORM TRANSITION STRATEGY
POSITION MANAGEMENT AND TRAINING SYSTEM
LARGE EXCHANGE NEEDED TO TRANSITION TO NEW EXCHANGE IN A VERY SHORT TIME FRAME
The Tokyo Grain Exchange was facing a financial decline, and needed to merge its processing functions into the Tokyo Commodity Exchange (Tocom). The challenge was how all of the open positions (outstanding contracts) from the over 50 clearing members, could be converted by all of the members and transferred across to the Nasdaq OMX platform at Tocom, within the 90 minute gap in trading at the Tocom exchange.
Being a previous customer who saw us deliver new functionality over the web quickly and securely, Touch-Fire again took on this project by building a user front end where members could do position allocation, verification and exchange monitoring. A back end integration with the Nasdaq OMX clearing system was also built to execute the transfer.
After several dry runs with all members present, the migration process was run for real, without any problems, on the last day of the year, 2010. This project allowed the exchange to smoothly transition to the new platform within a short span of time and in the most cost effective manner.
INTERNAL MATCHNG ENGINE FOR RETAIL TRADING
HEDGE FUND WANTED TO BACK OFF-EXCHANGE TRADING AT HIGH VOLUME, LOW TRANSACTION FEES
A broker had a large hedge fund client who was willing to become the counterparty to off- exchange trading to retail traders. The regulations in Japan had recently been changed to allow off-exchange trading for futures. If they could match up these two, their retail customers would get better pricing than available at the exchange, and the broker would not have to pay the exchange the execution fees.
Touch-Fire built a solution closely with the broker, which would perform the matching of orders, but would also work in tandem with the primary market, apply the same price limits, and register any trades to the post trade registration system. Later enhancements to this included smart order routing functionality that would sweep the internal market before forwarding the remainder to the primary market.
The benefit to the retail customer was better pricing than was available on the live exchange (typically quoted 1 yen better). The benefit to the hedge fund was a lower cost and higher volume order flow to match against. The benefit to the broker was increased execution volume and therefore commissions, and reduced execution costs on the transactions.
HIGH FREQUENCY TRADING SOLUTION
HIGH SPEED FIFO POSITION MANAGEMENT
BROKER NEEDED TO MANAGE A LARGE HFT CLIENT
A new FX client of a Japanese brokerage wished to trade at a far higher volume than the broker’s existing system could support. Furthermore, the client requested other functionalities specific to their trading practices and specific type of clearing required by this market. Most of the existing systems available could not deal with these requirements. Touch-Fire had the closest possible system with its new low latency FIX based routing engine
The first project phase dealt with the creation of a high volume clearing platform that could deal with the intricacies of this market (daily rollover, swap interest payments, multi- currency etc.), while also assisting the exchange to define a new clearing interface (FIFO). A set of FIX protocol based connections was also built to allow monitoring of all client order flow to the exchange, also order control in case of client system failure.
The solution went live in October 2012, and the client ramped up their order flow from 12 orders per day on day one, to over half a million orders per day on day 6. By implementing this solution, the broker became the only member of the exchange able to offer HFT trading on this market to overseas traders. The exchange also benefited with their trading volume effectively doubling overnight with the new activity.
FULL BROKER EXCHANGE SOLUTION
TFX On Exchange FX and CFD trading
The broker had a customer who wished to trade as a market maker on the TFX. Trading continuously for 23 hours per day. Grew from 12 orders per day, up to 300,000 per day in just 6 days. Clearing interface, including Swap, daily rollovers, and merging external vendor data
Touch-Fire built a solution covering all the order routing and drop copy requirements, as well as Clearing interface, including FX Swaps, CFD Interest rate and dividend rates, daily rollovers, and end of day clearing and regulatory reporting.
This solution became the core of the broker institutional business, and saw them rapidly grow their position in the industry. The updates implemented on the exchange side, allowed new market makers to join the exchange, making it, to this day, a far more competitive marketplace.
BROKER SOLUTION FOR HFT TRADING
Broker needed to manage a large HFT client
The broker had existing systems to support retail trading onto the Osaka Stock Exchange FX marketplace (OSE-FX). However, this new client wished to trade a far higher volume than the existing system could support. Given the high number of transactions, the broker also needed to be able to monitor the trading in real time, and receive alerts on exceptions. The solution also had to support both client level clearing and broker level clearing.
The first phase of this project was to create a high volume clearing platform, that could deal with the intricacies of this market (such as rounding issues and Fx conversion timing etc). The system was run in parallel with an existing retail solution for three months to iron out issues. At the same time we had to meet with the exchange to assist them to define a Fifo based clearing interface, which had not been used in this market before.
With this solution built and tested, it went live in October 2012, and the client ramped up their order flow from 12 orders per day on day one, to over half a million orders per day on day 6. By implementing this solution, the broker became the only member of the exchange able to offer HFT trading on this market to overseas traders, and benefitted from this new business. The exchange also benefited, as their trading volume effectively doubled overnight with the new activity.
LIQUIDITY PROVIDER AGGREGATION AND HEDGING SOLUTION
Broker needed to improve price spreads
The broker was operating a widely used crypto wallet, offering Crypto trading in JPY. However, market making pricing was much more competitive in USD. They therefore wanted a solution to aggregate quotes from multiple sources (both JPY and USD) and hedge these USD trades in real-time.
The solution provided by TF was a matching engine that was able to apply aggregrate FX conversion books to any source books, and generate prices in JPY, and then hedge resulting JPY trades across any number of legs.
Following the implementation, the customer was able to chose liquidity providers from any of the available international LPs.