How CommonSense Builds Its Trading Strategies on Ceffu’s Infrastructure
Cold storage: Qualified Wallet
Off-exchange settlement: Mirror
API trading (beta): Prime Wallet
CommonSense is a digital asset management firm building data-driven portfolios for long-term investors. With a mission of “making the future of generating wealth available to the masses”, the firm needed a custody partner whose technology infrastructure could allow them to test and run a variety of strategies with institutional-grade security and liquidity at their core. CommonSense engaged Ceffu to support its mission by helping their team build their portfolio of digital products powered by our growing suite of custody and liquidity solutions.
Security running on multi-party computation (MPC) technology
As a first point of contact, CommonSense needed the reassurance that their operations could run securely without fearing that the safety of their digital assets would ever be in jeopardy. The MPC technology powering our cold storage solution, Qualified Wallet, provided the CommonSense team with confidence that the highest standards of protection are in place to store and manage their digital assets with peace of mind.
With MPC, private keys no longer need to be stored in one single place, thereby mitigating the risk of any single point of failure in case the ownership of one of those private keys were to be compromised. Instead, key shares are stored on air-gapped (i.e. 100% offline) FIPS 140-2 devices and distributed across different geographical locations, thus optimizing the security of your digital asset storage as well as transfers.
Access to the world’s most liquid exchange
In light of rapidly changing market conditions, our off-exchange settlement solution, Mirror, provided CommonSense with an added layer of appeal to access the world’s largest and most liquid cryptocurrency exchange while minimizing counterparty risk by keeping their digital assets secure in Ceffu’s cold storage.
Through Mirror, institutions dedicate a specified amount of their crypto asset balance available in their Qualified Wallet and mirror it onto their Binance Exchange account with a 1:1 balance. Their assets remain secure in their segregated cold wallet for as long as their Mirror position remains open on the Binance Exchange, which can be settled at any time.
“Liquidity on the Binance Exchange is still the best. The fact that we’re able to trade on the exchange without moving our assets out of cold storage on Ceffu has been the perfect functionality for us to continue running our trading strategies.” Eduardo Forte, Co-Founder & CEO – CommonSense
Flexibility to set and manage user roles and permissions
Ceffu enables institutional clients to set specific roles for each team member with access to their custody wallet, which, based on the assigned role, limits or grants various permissions. This level of flexibility has helped the CommonSense team run their operations more efficiently and confidently by allowing both internal and outside partners to execute specific tasks based on a predefined role (e.g. Trader) with the relevant permissions.
Forte added, “Ceffu’s governance controls are great, because we can create a specific wallet for data providers or other outside partners we work with and set Trader permissions so they can help us test new strategies through that wallet while we still maintain full control over the main account.”
Providing a full infrastructure to test new strategies
Our Prime Wallet solution is also supporting CommonSense in testing new API strategies. Prime Wallet works as a hybrid of cold storage and hot wallet with network-agnostic withdrawal solutions, enabling faster transactions and connectivity via Ceffu’s OpenAPI function.
Backed by our growing suite of custody and liquidity solutions, CommonSense is able to develop new products and strategies to meet diverse investment needs from its clients.
“With Ceffu as our custody partner, we have the right infrastructure that allows us to provide our strategies in a much more secure way. We’re essentially able to create more products and strategies around the solutions that their team continuously develops, which is why our partnership has been so successful.” Eduardo Forte, Co-Founder & CEO – CommonSense
Securing your institutional crypto assets with Ceffu
Ceffu is a compliant, institutional-grade custody platform offering custody and liquidity solutions that are ISO 27001 & 27701 certified and SOC Type 1 & Type 2 attested. Our MPC technology, combined with a customizable multi-approval scheme, provides bespoke solutions allowing our institutional clients to safely store and manage their digital assets through our insured, segregated cold storage solution, Qualified Wallet.
Institutions also benefit from our secure gateway to a wide range of liquidity products within the Binance ecosystem as the Binance Exchange’s institutional custody partner. Through Mirror, institutions dedicate a specified amount of their asset balance available in their Qualified Wallet and can mirror it onto their Binance Exchange account with a 1:1 balance. Their assets remain secure in their segregated cold wallet for as long as their Mirror position remains open on the Binance Exchange, which can be settled at any time.
For more information, please contact our relationship management team.
CommonSense helps investors build their digital wealth. The digital asset management firm creates innovative tokenized products and bundles them to create an all-weather digital portfolio with a long-term view. For more information, visit www.commonsense.finance