Skip to main content
Back to news
Technology

Kraken's Colocation Partnership With Beeks Turns One — Here's Why Low-Latency Trading Matters More Than You Think

(155 days ago) · 1 source · Summarized by CryptoBipto

Kraken is marking one year of its colocation partnership with Beeks, a cloud and connectivity provider that gives traders ultra-fast, low-latency access to Kraken's trading infrastructure. The partnership has aimed to level the playing field by offering institutional-grade speed to a broader range of traders.

WHY IT MATTERS

Imagine you're trying to buy concert tickets the moment they go on sale. If someone else has a faster internet connection and is sitting right next to the ticket server, they'll always beat you to the punch. That's essentially what 'colocation' does for trading — it lets traders place their computers physically next to the exchange's computers so their orders arrive faster. Kraken partnering with Beeks means more traders can access this speed advantage without building expensive infrastructure themselves. It's a sign that crypto markets are growing up and starting to look more like Wall Street, which can be good for market quality but also raises questions about whether everyday traders can keep up.

Colocation — the practice of placing trading servers physically close to an exchange's matching engine — has long been a staple of traditional finance.

Read the full analysis with a CryptoBipto membership

Members can read the full analysis of every story, not just the headline.

Get started

SOURCES

  • Source

RELATED

Trading InfrastructureColocationInstitutional TradingKrakenMarket Microstructure