Finteum Intraday Repo Platform

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Finteum is creating an Intraday Repo platform that enables banks to borrow money from other banks for hours at a time, using their securities as collateral. Collateralised interbank lending is referred to as a "repurchase agreement" or "repo" for short.Currently banks don't have financial instruments available to them to actively manage their intraday liquidity through collateralised borrowing. Regulations introduced after the 2008 crisis oblige large banks to keep adequate balances in cash and high-quality securities. Access to intraday financial instruments and markets will help banks to meet these regulatory requirements more efficiently.Finteum's Intraday Repo platform would allow banks to lend money for a few hours and to earn a yield on their money, when they don't need it. The banks that need the money for a few hours would borrow, using their securities as collateral. This would result in cost savings for the banking industry, and increased banking system stability because banks would have access to more mechanisms than before. International regulators including the Prudential Regulatory Authority (PRA) in the UK are already aware of the benefits of intraday transactions.Finteum's Intraday Repo platform will be built using R3's Corda blockchain protocol, the same protocol used for Finteum's Intraday FX Swaps platform. Finteum aims to reduce frictions in the repo deal execution process for international banks by using blockchain and by putting repo orders into our efficient, proprietary central limit order book and request for quote technology. This will make transaction execution possible within minutes, which is essential for intraday transactions.Finteum is an innovative, ambitious UK company focused on creating interbank intraday liquidity markets that do not exist yet. Our competitors in intraday repo initiatives in financial markets have focused on the US market whereas Finteum will start in the UK and Europe and expand globally.