STS Digital launches cross-asset portfolio margining
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STS Digital launches cross-asset portfolio margining 20 August 2026Bermuda Reporter: Matthew Challis
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STS Digital, a Bermuda Monetary Authority (BMA)-regulated principal trading firm, has launched cross-asset portfolio margining for eligible institutional clients.
The offering will be available across the firm’s OTC business in spot, options, and structured products, following the BMA’s completion of the material change process under the Digital Asset Business Act 2018.
According to the firm, positions and posted collateral are assessed together within a single risk assessment, exposure is netted across assets, and one collateral pool will be available to clients seeking to offset collateral fragmentation caused by underlying assets.
STS Digital says the initiative will allow institutions to post tokens already held as margin against positions in other assets, subject to applicable eligibility and valuation rules.
The new framework will also operate within the firm’s existing collateral and prudential risk policies, available to eligible institutional and professional clients that satisfy its onboarding, documentation, and risk assessment criteria.
The offering will span spot, vanilla, and exotic options and structured products.
Commenting on the launch, Maxime Seiler, CEO of STS Digital, says that institutions are seeking collateral that behaves “the way it does everywhere else in their business”, and that margin should “reflect the risk of the portfolio, not the sum of its parts”.
Gideon Hyams, co-founder and chairman of STS Digital, says: “The hard part of this product is not the trading; it is the risk model behind it.
“Netting risk across assets is easy to describe and difficult to do conservatively.”
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