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

Exchange Data Center Deployment

Deployed trading hardware within exchange data centers.

Positioned systems near matching engines
Eliminated geographic routing delays
Improved deterministic execution proximity

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

Network Layer Elimination

Eliminated intermediary network layers and routing devices.

Reduced switching overhead entirely
Simplified infrastructure topology
Increased execution consistency reliability

Single-Hop Transmission Paths

Designed single-hop physical connections for order transmission.

Shortened end-to-end signal distance
Maximized achievable trading speed