Physical Address
304 North Cardinal St.
Dorchester Center, MA 02124
Blended finance moved from payments to lending. Consider trading as the next logical step, and platforms that force users to move between providers to access different asset classes are gradually losing ground. Patrick Murphy, managing director for UK andEU their EU-EU at Etcap, multi-asset access needs to be built in from the ground up if platforms want to keep users engaged.
But make it clear that meeting this expectation is not as simple as adding new financial instruments. This raises deeper questions about the infrastructure. How can you include regulated derivatives alongside cryptocurrencies? How will stablecoins integrate into the cross-border settlement while banks are still running legacy systems? And what happens when tokenized assets start serving as collateral in traditional finance and DeFi?
In this interview with BeInCrypto, Murphy details how EtCap is tackling these challenges, from embedding compliance into APIs to preparing for a world where Bitcoin, stocks and gold increasingly move on-chain.
Sponsored
Sponsored
BeInCrypto: EtCapEmbed allows brokers, platforms and wallets to integrate multi-asset trading through a single API. What market signals or customer needs have convinced you that multi-active integrated access will become the new area of user interaction with platforms?
When we looked at where the market was headed, several things stood out, Patrick Murphy said. Through brokers, platforms and other fintech companies, we have seen the needs of customers converging. Users want the ability to easily move between cryptocurrencies, forex and commodities. Platforms experienced a loss of engagement when users had to leave to access different asset classes, creating a retention challenge. If you can’t offer multi-asset exposure locally, your customers will shop elsewhere.
Consolidated finance reframed expectations. As payments and loans were integrated into non-financial systems, we saw trade as the next logical step. We see an opportunity to bring this same model to commerce, turning partners into single investment centers rather than single asset providers.
We also found that today’s marketers value experience as much as execution; They want immediate and frictionless access to markets. The multi-asset function of EtcapEmbed allows this, as a trader can not only buy or sell cryptocurrencies via its platform, but also diversify its assets through derivatives. This increases engagement and revenue potential for our clients. Etcap Embedded was not created in response to a single customer need; Rather, it was born from the observation of the change towards blended finance and the changing behavior of traders in accordance with their expectation of universal access.
BeInCrypto: Based on your experience in compliance and payments, how did you approach including regulated trading functions in partner platforms while maintaining speed and scalability?
Patrick Murphy said: My experience in the payment and compliance sectors allows me to combine regulatory principles with product flexibility. In the payments space, I learned that scalability breaks down when compliance is viewed as just an audit step.
At Etcap, we designed the integrated API with jurisdiction awareness, KYC, AML, and authorization logic built into the onboarding procedures and transaction flow. This ultimately means that partners do not need to build parallel systems; Compliance is built into the system, not added to it.
Sponsored
Sponsored
By maintaining a strong compliance core, our partners can launch quickly because they don’t need to review or recheck key controls.
We position EtcapEmbed as an infrastructure that is “compliant by design”, enabling brokers, platforms and wallets to scale with confidence, maintaining trust with clients and regulators.
BeInCrypto: Integrating derivatives and crypto products into blended finance brings unique technical, administrative and risk management challenges. What are the toughest trade-offs you’ve faced when balancing ease of use, compliance and flexibility in volatile markets?
Patrick Murphy said: “One of our challenges was to create an experience that felt natural across partner platforms, while simultaneously meeting regulatory requirements such as customer classification in TMD, leverage limits and margin requirements.
This was easily and successfully managed with our business, legal and compliance teams collaborating to design an effective integration for our partners that adheres to all regulations,” explained Patrick Murphy.
Sponsored
Sponsored
BeInCrypto said that Eightcap Tradesim bonuses are given to users for virtual trading. What have you learned about trader behavior or education through this experience, and how has it influenced your approach to attracting and retaining clients?
Patrick Murphy said: Tradesim revealed that traders learn better when the environment looks realistic, but the consequences are not. By simulating live market conditions and rewarding coaching performance, we have observed a tangible increase in traders’ confidence. Many traders develop a real discipline, such as tracking trades, understanding the market and analyzing data. The main point of the article here is that game-based learning bridges the gap between curiosity and confidence.
We have shown that educational engagement is directly related to business continuity. Users who spent more than five days in virtual trading were more likely to become active traders.
BeInCrypto asked to know how stablecoins reshape liquidity and liquidity, how Eightcap uses these currencies to simplify fiat-crypto flows in combined platforms, and what regulatory problems or obstacles in cross-border transfers remain?
Patrick Murphy said: Stablecoins are one of the most important financial innovations of recent decades. It has expanded access to digital dollars such as USD₮, enabling instant, low-cost, high-volume transfers and filling the gaps left by fragmented banking and payment systems, particularly in emerging markets and countries outside the UK, EU and Australia.
Sponsored
Sponsored
At Eightcap, we use stablecoins to make financing and withdrawal of customer funds faster and more reliable, and remove obstacles where traditional channels do not work efficiently, said Patrick Murphy. But there are still regulatory obstacles when handling this type of dollar as customer money in licensed entities; Existing systems were not designed for settlement on the block chain, so the requirements for custody, protection and reconciliation remain built around traditional bank funds.
Patrick Murphy stated that compatibility with US dollar bank accounts remains limited. Stablecoins are installed on the chain 24/7, while banks still operate during business hours and their payment networks are isolated. As long as regulations and infrastructure keep pace, stablecoins will remain a highly efficient parallel system in their own right, but are not yet fully integrated into the ways that regulated financial institutions manage client funds.
BeInCrypto asked: What regulatory or technical changes are expected to define the future of blended multi-asset trading in the next two years, and how is Eightcap ready to lead this transformation?
Patrick Murphy said: In the next two years, most assets will begin to move on the chain, not only cryptocurrencies, but also tokenized gold, stocks, cash and their equivalents. This transformation will radically change the way capital is used. Once the assets exist in native form on the chain, they can be used more effectively as collateral, for liquidation or for reinvestment without the need to sell or close trades. The investor will be able to use Bitcoin, tokenized gold, or shares as dynamic collateral to exchange other assets, hedge via derivatives, or reinvest instantly.
Patrick Murphy said that Eightcap is collaborating with large digital technology companies that require global licenses to bring on-chain and hybrid financial products between DeFi and traditional finance to market. By combining regulated multi-asset infrastructure, tokenized assets and stablecoin settlement, we enable our partners to deliver integrated, compliant and capital-efficient trading experiences.
Patrick Murphy concluded that as cryptocurrency and tokenization regulation matures, Eightcap positions itself as a bridge between traditional capital markets and the emerging blockchain economy.
