CASE STUDY
Exchange Co-Location and Direct Cross-Connect Architecture
Eliminated network hops by establishing direct physical connectivity to exchange infrastructure, ensuring maximum execution speed and reliability.
Situation
Indirect routing through network providers introduced additional hops, latency, and variability. Proximity to exchange systems was critical for competitive execution.
Solution
A co-location and connectivity strategy was implemented. This ensured the shortest possible path between trading systems and exchange matching engines.
OUTCOMES
99.99% uptime
exchange connectivity layer
Aligned engines
with venue logic
$2.1M protected
reduced routing slippage
Challenges
Routing
- •Multi-hop network paths
- •Provider latency
Proximity
- •Distance from exchanges
- •Infrastructure variability
Solutions
01
Exchange Data Center Deployment
Deployed trading hardware within exchange data centers.
- Positioned systems near matching engines
- Eliminated geographic routing delays
- Improved deterministic execution proximity
02
Dedicated Cross-Connect Links
Established dedicated cross-connects between client and exchange racks.
- Enabled single-path physical connectivity
- Removed shared infrastructure dependencies
- Stabilized transmission performance characteristics
03
Network Layer Elimination
Eliminated intermediary network layers and routing devices.
- Reduced switching overhead entirely
- Simplified infrastructure topology
- Increased execution consistency reliability
04
Single-Hop Transmission Paths
Designed single-hop physical connections for order transmission.
- Shortened end-to-end signal distance
- Maximized achievable trading speed