Avelacom, the low latency connectivity, IT infrastructure and data solutions provider, has expanded its global network with two new low latency routes, Seoul-Hong Kong, and Seoul-Singapore, enhancing interconnectivity between the three financial centres.
The routes in Seoul terminate at the KINX Gasan data centre, where Avelacom has established its point-of-presence (PoP). This location was selected to provide direct access to the AWS Northeast region and South Korea’s largest cloud-based cryptocurrency exchanges.
“These are pure crypto trading routes,” Aleksey Larichev, CEO of Avelacom, tells TradingTech Insight. “Korean crypto exchanges are becoming more popular despite limitations on the KYC side. Traders are seeking good liquidity and expanding their business to new venues. Low latency routes to Korea have been among popular inquiries, and now we can support the overseas trading community with the connectivity services they require.”
The new routes complement Avelacom’s recently launched proprietary low latency Seoul-Tokyo route. The network now fully interconnects Seoul, Tokyo, Hong Kong, and Singapore, facilitating direct connectivity between any two points. Additionally, these routes connect to over 100 global Avelacom PoPs, offering direct access to both traditional exchanges globally and cloud-based crypto and digital exchanges. This extensive connectivity supports time-sensitive trading strategies, such as arbitrage and market-making algorithms, and enables the capture of real-time market data feeds.
“Essentially, in the realm of prop trading firms, we need to outpace other providers, including public clouds, in terms of speed. We identified an opportunity to build faster fiber routes. While cryptocurrency was the driving force, the capacity on these routes will be utilised for traditional trading as well,” says Larichev.
He continues: “Our network’s extensive coverage enables us to provide our clients with a one-stop-shop in terms of geographical reach. For instance, if a customer uses our services in Australia, Israel, or South Africa and they are satisfied with the performance, support, and services we deliver, as they expand into new markets, whether cryptocurrency or traditional, they tend to approach us, inquiring if we can provide services at their new locations. In fact, more than 80% of our clients tend to further utilize our offerings across diverse geographical regions and product/instrument spectrums.”
Much of the demand for Avelacom’s services – for both crypto and traditional markets – comes from proprietary trading firms, says Larichev. “Prop shops tend to gravitate towards areas of high volatility, and that goes in waves across both traditional and cryptocurrency markets. For instance, a couple of years ago, there was a significant shift from traditional markets towards cryptocurrencies. However, during the past year, the cryptocurrency market has experienced a slowdown. Consequently, we are now witnessing a number of clients who previously traded exclusively in cryptocurrencies transitioning towards traditional exchanges. The trend oscillates back and forth.”
Avelacom’s new routes are now operational with guaranteed microsecond-level latencies and up to 99.9% network uptime.
Subscribe to our newsletter
