Integrations play an integral role in the Membrane platform and serve as the foundation of our custody-neutral approach to providing settlement services to our growing network of users. Our customers represent some of the most active and sophisticated institutions and market markers in the crypto market ecosystem. One of the most acute pain points we hear from our customer base is the lack of connectivity between their financial transactions and their settlement technology.
Put more simply, after executing hundreds if not thousands of transactions – whether it be spot trades, loans, management of collateral or derivative transactions – it remains extremely difficult to reconcile transaction details and track the associated payments without laborious manual processes.
Membrane’s goal is to unify crypto’s disjointed market structure by enabling portfolio management across any custodian, fiat bank, exchange or settlement network. Once plugged into Membrane, users now have the flexibility to settle transactions using any wallet of their choice and move funds seamlessly through the crypto ecosystem. The added benefit of Membrane’s order management system is that all of the trade details connect directly to the settlement infrastructure so that interest payments, margin calls and spot trades are accounted for – down to the fraction of a Bitcoin. This eliminates the need to manually enter your counterparty’s receiving wallet address – it’s the receiver’s responsibility to input their own address information – enabling users to use new addresses for every transaction if they so choose.
Take, for example, one of the world’s largest crypto market makers. On a daily basis, this market maker may execute hundreds of spot trades and needs to deliver interest payments with its OTC service providers who are providing OTC loans for trading operations. At the end of the day, the market maker can use Membrane to net all of its payments across a multitude of assets – inclusive of fiat currency – and choose to send funds from whichever wallet it chooses in accordance with its preferred instructions. Netted transactions still reflect the individual bilateral trade details such that each side receives the information they need to operate their business.
A market maker can leverage an account at a qualified custodian, a tri-party escrow account held at a custody provider, a smart contract acting as a self escrow account or a hardware wallet to send funds to a customer’s MPC account or any wallet provider of their choice. Thus, Membrane connects all of these walled gardens to create an immensely more powerful transaction network.
NOTICE: This article is intended for general information, educational and discussion purposes only. It is not an offer, inducement or solicitation of any kind, and is not to be relied upon as constituting legal, financial, investment, tax or other professional advice. A professional advisor should be consulted for your specific situation. Digital assets are highly volatile and risky, are not legal tender, and are not backed by the government. This article may contain views or opinions of the author that do not necessarily reflect the opinions, standards or policies of Membrane. We expressly disclaim all liability and all warranties of accuracy, completeness, merchantability or fitness for a particular purpose with respect to this article.