Baton Systems

Market position

The company states that seven of the nine largest Western G-SIBs use its technology and that a March 2023 BIS CPMI report identified its Core-FX as the only live FX PvP service. It has received multiple industry awards, including Best FX Settlement Innovation at the Euromoney Foreign Exchange Awards and Best FX Settlement and Risk Mitigation Solution at the FX Markets Asia FX Awards (2023), Best Settlement Initiative at the FX Markets e-FX Awards (2021 and 2022), Best Distributed Ledger Technology Project at the Sell-Side Technology Awards (2019 and 2022), and FinTech Start-up of the Year at the Risk Awards (2020).

Baton emphasises production-deployed DLT settlement rather than pilots, interoperability with existing bank systems, a network of connected CCPs and custodians for collateral mobility, and on-demand PvP settlement outside CLS spanning traditional and tokenised currencies.

Technology

The platform is built on distributed ledger technology used for settlement and collateral movement, combined with real-time workflow orchestration, netting and matching, liquidity forecasting and programmable payment controls. The company describes the stack as interoperable and AI-ready, bridging legacy bank infrastructure with digital settlement venues and tokenised currencies, and cites production DLT settlement volumes of more than $25 trillion.

Go-to-market

Baton sells directly to large financial institutions and expands through partnerships and integrations with market infrastructure and technology providers, including J.P. Morgan, BNY Mellon, HSBC, Citi, OSTTRA, Partior, Fnality, Nasdaq (Calypso), DTCC and Derivative Path, which extend the reach of its collateral and PvP settlement networks.

Large global banks and G-SIBs, regional banks, clearing members, brokers and clearing houses/CCPs, custodians and other wholesale financial market infrastructure participants.

Geography

Offices include Chennai, India (opened 2017) and London, United Kingdom (opened 2020), serving banks and market infrastructure across North America, Europe and Asia.

History

The about page dates the company's founding to 2016, with the first customer deployment of Core-FX and the opening of a Chennai, India office in 2017, and participation in the Bank of England's RTGS Renewal Programme proof of concept in 2018. J.P. Morgan went live with Core-Collateral in 2019 and a London office opened in 2020. In 2021 Baton powered the first interbank PvP settlement outside CLS, signed the updated FX Global Code, added ICE Clear Europe to its CCP network and appointed William (Bill) Coen and J. Christopher Giancarlo as senior advisors. Subsequent milestones include a BNY Mellon collateral optimisation collaboration and a first risk-free settlement of offshore yuan transactions (2022), the launch of Core-Payments and expanded CCP coverage with J.P. Morgan (2023), platform modularisation, treasury tools for intraday liquidity, addition of JSCC and the OSTTRA FX PvP service launch (2024), network expansion to Euronext Clearing and DTCC's FICC and NSCC plus the Integration Manager and Eligibility Service launches (2025), and the Nasdaq Calypso and Derivative Path partnerships and the G.H. Financials deployment (2026).