Nasdaq has entered into a new market technology agreement with Extraordinary Re in order to deliver matching engine technology via the Nasdaq Financial Framework architecture.
Under the agreement, Extraordinary Re will deploy this technology through its patented Liquid Insurance Contract risk allocation platform. It will operate its system on a private cloud and leverage blockchain technology to transmit flow-through information to its participants.
“The agreement with Nasdaq is an important milestone in our go-to-market plan,” said Will Dove, Chairman & Chief Executive Officer, Extraordinary Re. “Our innovative structure and technology will deliver new classes of risk to investors through a platform powered by Nasdaq’s market-leading technology.”
Founded in 2013, Extraordinary Re is building a system to handle a broad range of insurance liabilities and make them available and attractive to institutional investors. It is creating a new way for insurers, reinsurers and managing general agencies to access capacity from the Insurance Linked Securities (ILS) market.
Extraordinary Re will enable its participants to reallocate insurance risks among themselves in a familiar format, powered by tested Nasdaq technology. By leveraging blockchain technology, it will deliver real-time data to its participants and expects to deploy other applications using this technology in the future.
“Extraordinary Re is helping bring a new way of thinking for institutional investors to the global reinsurance market and we are excited to work with them in bringing this vision alive through our technology,” said Paul McKeown, Senior Vice President, Market Technology, Nasdaq. “With the agility of the Nasdaq Financial Framework, we are able to provide a platform that can flexibly support new assets and new types of innovative markets, like Extraordinary Re. We look forward to expanding our relationship as they grow in this space.”
According to the official release, the technology is expected to go live in summer 2018.
