Cryptocurrency data aggregator Crypto Compare is to provide Thomson Reuter’s desktop platform Eikon with data on 50 cryptocurrencies, or coins, as part of a new partnership.
The move is designed to provide institutional traders and investors using the Eikon platform with a reliable stream of pricing data for a selection of cryptocurrencies to predict price movements and view market participant behaviour.
Crypto Compare will “imitate” the data services provided by Thomson Reuters’ for other products, according to the founder and chief executive, Charles Hayter, in terms of its crypto market data aggregation work.
The firm sources cryptocurrency data from a pool of “trusted exchanges” and aggregates trade, order book, block explorer and social data across over 5,000 coins and 200,000 currency pairs globally.
“As the digital asset markets mature, we see a fast-growing demand from the institutional investor community for comprehensive, real-time and global market data, which can be trusted as the basis for investment decisions,” said Hayter.
Accuracy of data has been one of the most significant impediments to greater institutional involvement in cryptocurrency trading, and Hayter says that by drawing data from reliable venues that adhere to best practices, a greater degree of crypto market transparency can be passed on to those using the Eikon platform.
“We have always sought to provide transparency to this market and this partnership provides a great opportunity for the institutional investor community to access not only our data, but also to benefit from our experience and insight,” said Hayter.
Crypto Compare first worked with Thomson Reuters in one of the data giant’s blockchain hackathons in September 2016, when the latter was first dipping its toes in the crypto space. Now Thomson Reuters is actively building out its crypto data offerings through partnerships that leverage niche expertise in the space.
“Despite the decline in the price of many of the leading cryptocurrencies during 2019, we continue to see increasing demand from our customers for pricing coverage of the major names,” said Sam Chadwick, director of strategy in innovation and blockchain at Thomson Reuters. “This partnership puts pricing data for this emerging market alongside other asset classes, giving our customers a more comprehensive trading view in Eikon.”