Participants

Andrew Smith; SVP, Global Business Development and Corporate Strategy; Virtu Financial Inc

Douglas Cifu; Chief Executive Officer, Director; Virtu Financial Inc

Joseph Molluso; Co-President, Co-Chief Operating Officer; Virtu Financial Inc

Cindy Lee; Chief Financial Officer; Virtu Financial Inc

Christopher Allen; Analyst; Citi Research

Dan Fannon; Analyst; Jefferies LLC

Ken Worthington; Analyst; JP Morgan

Presentation

Operator

Ladies and gentlemen, thank you for standing by and welcome to Virtu Financial 2025 first-quarter results. (Operator Instructions)
Please be advised that today's conference is being recorded. I would like now to turn the conference over to Andrew Smith, Head of Investor Relations. Please go ahead.

Andrew Smith

Thank you, Michel, and good morning, everyone. Thank you for joining us. Our first-quarter of 2025 results were released this morning and are available on our website. With us today on this morning's call, we have Mr. Douglas Cifu, our Chief Executive Officer; Mr. Joseph Molluso, our Co-President and Co-Chief Operating Officer; and Ms. Cindy Lee, our Chief Financial Officer.
We'll begin with prepared remarks and then take your questions. First, a few reminders. Today's call may include forward-looking statements, which represent Virtu's current belief regarding future events and are, therefore, subject to risks, assumptions and uncertainties, which may be outside the company's control.
Please note that our actual results and financial conditions may differ materially from what is indicated in these forward-looking statements. It is important to note that any forward-looking statements made on this call are based on information presently available to the company, and we do not undertake to update or revise any forward-looking statements as new information becomes available.
We refer you to disclaimers in our press release and encourage you to review the description of risk factors contained in our annual report on Form 10-K and other public filings. During today's call, in addition to GAAP measures, we may refer to certain non-GAAP measures, including adjusted net trading income, adjusted net income, adjusted EBITDA and adjusted EBITDA margin. These non-GAAP measures should be considered as supplemental to and not as superior to financial measures as reported in accordance with GAAP.
We direct listeners to consult the Investor portion of our website, where you'll find additional supplemental information referred to on this call as well as a reconciliation of non-GAAP measures to the equivalent terms in the earnings material with an explanation of why we deem this information to be meaningful, as well as how management uses these measures.
And with that, I'd like to turn the call over to Doug.

Douglas Cifu

Thank you, Andrew, and good morning, everyone. Thank you for joining us this morning. In my remarks today, I will focus on Virtu's first quarter 2025 financial and business performance and strategic initiatives. Following my remarks, Joe and Cindy will provide additional details on our results.
This morning, we reported $1.30 of normalized EPS on total adjusted net trading income per day of $8.3 million. Quarterly EBITDA was $320 million, and our EBITDA margin was a healthy 64%. This represents our high net trading income per day since 2021 and reflects the continued long-term improvement of our core business as well as our expansion into new markets.
Market Making had its best quarter since the first quarter of 2021. Thanks to our continued enhancements, our Retail Wholesale business was strong, and our global noncustomer Market Making businesses continue to outperform our opportunity metrics. In particular, our noncustomer global equities, digital assets and ETS block Market Making franchises delivered outsized performances.
This quarter demonstrates the benefits of our global diversified Market Making operations and highlights its ability to outperform separate and apart from the US Retail Wholesale business. In addition to our noncustomer Market Making businesses in the US, Europe and Asia Pacific equities and options, we make markets in energy products like crude oil and natural gas currencies, digital assets, fixed income instruments and a range of other commodities, including precious and non-precious metals, all of which performed well during the quarter.
We continue to extend our listed options business in Asia, India and Japan, have expanded our coverage of tokens and venues and digital assets, and we are making strides in expanding our ETF Block business in Europe. In addition, we had an outstanding quarter in metals given the tunnel around tariffs, which has now been implemented.
I point this out to unwind the fact that while our business does benefit from increased retail activity in the United States, we are also broadly diversified and levered to increase volumes and volatility across asset classes and geographies. In addition to the strong performance of our Market Making businesses, the diverse strength of the firm was further evidence by Virtu Execution Services, seventh straight quarter of the increasing net trading income, a trend which has persisted to a range of both favorable and less favorable operating conditions.
The VES suite of scalable, highly performing products has begun to resonate with our growing and impressive global buy-side and sell-side client list as we continue to make significant inroads through product penetration and cross-selling. We believe our VES business has significant room to grow. Our product line is best-in-class, and our position is rising on broker wheels. We've successfully rolled out Virtu Technology Services, or VTS, with more in the queue.
We've deployed an agency fixed income RFQ platform to a handful of clients, building a dealer network of almost 20 brokers on top of our client connectivity. In 2024, we delivered on our plan to significantly increase our sales prowess with a number of key hires, further accelerating our growth in this space, and the results have been noticeable.
In addition, Virtu Capital Markets, which has been a pioneer in implementing at the market offerings for corporate issuers to raise capital and is off to a great start in 2025. What we call VES today is the combination of the Knight Execution service business we acquired when we bought Knight and ITG's global execution workflow analytics and connectivity franchises.
Since acquiring those businesses, we have completely overhauled their respective technology platforms and upgraded the entire suite of products from our algos, deposit alert and our extremely valuable and down multi-asset class workflow and analytics products.
The market penetration and adoption levels that VES is realizing today on the culmination of this hard work and our continued investments. Our VES products allow us to achieve deep integration to client workflows, resulting in growth of recurring and reoccurring revenue streams.
In addition to these technological and product enhancements, we have also streamlined their operations. We do not break out bottom line results in our segment reporting. However, suffice to say, our EBITDA margin on these businesses are substantially high and depending on the quarters as much as 2 times or more than when we acquired.
Given the outline improvements in this business and the outlook and recent performance, we do not see any reason why in the medium term, we can now achieve a $2 million per day run rate for VES. Now let me comment on recent market activity. As you know, after the tariff announcement on April 2, global markets became extremely volatile. I want to make a handful of comments about the state of the market and our experience in the last few weeks.
First and very importantly, despite some stresses, the market infrastructure performed exceedingly well. We saw no interruptions in our flows no significant additives or liquidity concerns among any of our counterparties, which include the most important clearinghouses, prime brokers, retail brokers, banks and trading venues around the world.
This performance is the culmination of years of shoring up the financial market infrastructure and sensible and prudent regulation for which we have always been an advocate. This reflects the lessons learned from prior market events and pilots have competition makes markets better by driving brokers, ATSs and exchanges to innovate and invest in their systems.
Second, our operational performance was outstanding. The past several weeks included the highest volume and volatility days in Virtu's history. I'm proud to say that we had no counterparty issues from a risk standpoint or operational issues that prevented us from servicing clients. While naturally, we had increased margin requirements as we anticipated, our liquidity was more than sufficient to meet all associated obligations.
Looking at retail participation. As measured by retail shares and quoted spread, the first few weeks of the second quarter were well ahead of 2024 than the first quarter of 2025. Indeed, the last time we saw retail participation at these levels were the pandemic days of 2020. We remain as the best we have been since 2020, very bullish on long-term retail engagement. Of course, broader market volume will come down, but the most recent elevated levels as one would naturally anticipate.
However, if you look at the long-term trend of retail participation, we believe that the data shows a secular uptrend in retail engagement, in fact. If you look at the 605-share volume, the quoted spreads over the last six years, you will notice that even after the heightened activity in 2020 and in 2021, the market settled well above its pre-pandemic high. We also note several market trends, including the strong new account opening figures from retail brokers that are indicative of the retail participation continuing at pace at the new baseline levels.
Finally, I cannot conclude without commenting on our outlook, both near term and long term without reiterating what I just said a few minutes ago. Virtu was built as a highly diversified Market Making business and further diversifying its business with the growth of its Execution Services businesses. The current environment is favorable for both our customer and noncustomer Market Making businesses and our Execution Services business as well.
This has also been an excellent environment for our growing options business, digital asset business as well as our ETF Block business, which in recent days has handled a record number of requests for quotes and working orders from clients. In broad strokes, our growth is driven by three key forces.
First, sharpening our edge and better capture opportunities within our existing businesses. Second, extending our edge into new products and markets, which themselves are expanding, such as (technical difficulty) the electronification of fixed income and the growing adoption of digital assets and ETFs abroad.
And third, we benefit from the broader tailwinds as market volumes and volatility drive, thanks to our diverse, global, multi-asset class Market Making and execution services platform which enables us to participate in both short- and long-term trends wherever and whenever they emerge.
Importantly, the first two drivers are within our control. powered by our execution, innovation and strategic investment regardless of how favorable or challenging the external environment may be. I think, especially in times like these for our business, it's important to put these things into perspective and know how expansive Virtu's business has become over the years.
With more on this point, I'd like to turn the conversation over to Joe Molluso for more commentary. Joseph?

Joseph Molluso

Thank you. We thought it was an appropriate time to revisit briefly some analysis we had included in our supplement materials and on our Investor website in the past that are meant to provide some long-term perspective on Virtu and how we have grown business in a deliberate way over the years.
So first, on Slide 8 in the supplemental materials, we went back to our IPO 10 years ago and arranged the data from 2015 until the first quarter. And despite the inherent volatility in our business, there is a clear up into the right SKU to our results. The next slide on Page 9 is revisiting some perspective on how to analyze a volatile business such as Virtu. The top of the page shows a sensitivity analysis based on adjusted net trading income and the resulting EPS.
We introduced the sensitivity analysis about five years ago and have been able to realize results that are consistent with this analysis due to the rigor we have around cost and capital management, things we can't control as opposed to the operating environment, which we obviously can't control. Our average daily pro forma net trading income going back to 2019, which was the first full year after the ITG acquisition has been $6.3 million per day.
So through the cycle, through all the ups and downs of different market cycles, our immediate performance translates into $6.3 million per day, which extrapolated from the chart is $3.40 of adjusted EPS. So we have real growth in our operating model has demonstrated over the long term, which we are accelerating through our organic initiatives as seen in the middle of the slide.
Now going back to what Doug said in his prepared remarks, while our business is volatile, we believe the pieces are in place to continue growing as we further enhance our capabilities, and as we extend our abilities to new products and markets. As he mentioned, we believe the VES could be a $2 million per day business through the cycle.
Add to that, the variable of continuing contribution of our nonretail wholesaling business, and this means you should be able to raise the bar around cyclical troughs over time. The final component of this plan is our continued share buyback. The top line growth we have realized is significant and enhances our bottom line given our operating leverage.
Our share buyback program has and will continue to compound this earnings growth. If you have a desire to look out two to three years and even if you conclude that our business will continue to be volatile produce a trough year in a given cycle, the cumulative impact of the share buybacks is profound, baking in meaningful growth on top of any organic growth assumption you contemplate.
And with that, I'm going to turn the call over to our CFO, Cindy Lee.

Cindy Lee

Thank you, Joseph. Good morning, everyone. On Slide 3 of our supplemental materials, we provided a summary of our quarterly performance. For the first quarter of 2025, our adjusted net trading income or ANTI, which represents our trading gains, net of direct trading expenses, totaled $497 million or $8.3 million per day. Market Making adjusted net trading income was $382 million or $6.4 million per day.
Execution Services adjusted net to income was $115 million or $1.9 million per day. Our first quarter 2025 normalized adjusted EPS was $1.30. Adjusted EBITDA was $320 million for the first quarter of 2025, and our adjusted EBITDA margin was 64%. On Slide 12, we provide a summary of our operating expense results. For the first quarter of 2025, we reported $193 million of adjusted operating expenses.
We continue to maintain an efficient cost structure and disciplined expense management, which has helped us to control our operating expenses during the inflationary environment. Financing interest expense was $30 million for the first quarter of 2025. With the benefit of our raising refinance and the interest rate was contracts that we entered in the prior year, our blended interest rate was approximately 7.1% for long term debt in aggregate.
In Q1, we used a portion of our free cash flow to repurchase 1.3 million shares, an average price $36.44 per share or a total of $48 million. To date, we have repurchased over 52 million shares at an average price of $25.85 per share for a total of $1.4 billion. Quarter-end share count was 160.2 million shares outstanding.
Since we initiated our share repurchase program, we have repurchased over 18.9% of fully diluted shares of Virtu net after new issuances. We remain committed to our $0.24 reported dividend and combined with our share repurchase program, demonstrates our continued commitment to return capital to our shareholders.
Now I would like to turn the call over to the operator for Q&A.

Question and Answer Session

Operator

(Operator Instructions)
Chris Allen, Citi.

Christopher Allen

Morning, everyone. Thanks for taking my question. Maybe just to start out on the Market Making NTI helpful comments just around the retail sustainability. But maybe when we think about it from a year-over-year perspective, looking at the growth there, 40% year-over-year, can you help us think about what the balance between the wholesale business and the on-exchange business. Was there a balance opportunity? Is there a SKU and also the contribution from the new organic growth initiatives, just to help people think about the sustainability of the overall complex moving forward?

Douglas Cifu

Thank you. It's a great question, Chris. And obviously, we've tried to be more front footed about our views of sustainability and cyclicality, if you will, of the Retail business. And we obviously, as you know, don't break out customer versus non-custom Market Making. And part of that is, obviously, it's a little bit competitive.
But it's also -- the businesses are not as separate and distinct as you would think. We've done a lot of great work over the last seven years and certainly within the last two to three years in terms of actually making the business work quite well together. We've done some excessive amount -- I guess, excessive is a wrong word, an incredible amount of internalization between the various trading groups. That involves the customer business and creating an internal central risk book of businesses.
So the increase from Q4 to Q1 was pretty diverse and pretty evenly allocated, if you will, between the customer and noncustomer businesses. So it wasn't as if we had some burst of activity in January, February and March in our Virtu customer Market Making segment as opposed to the noncustomer Market Making businesses. As I noted in the comments, we had some really good days in our precious and non-precious metals business because of the fear of tariffs, which came to be, particularly in copper and silver, platinum, palladium.
Our Options business did exceptionally well in the Block ETF business, which both is responding to anonymous order of queues but also handling working orders from customers did exceptionally well. So I would say overall that the businesses were quite balanced, and we're trying to emphasize the global diversification and asset scale of this business.
I mean obviously, we don't run away from our Wholesale business. It's a great business. We inherited from that, and we have improved it dramatically. We've integrated it with all of the other great things that Virtu had and continues to grow and integrate with all the product areas that we are getting into. Like for example, when we take customer orders now in crypto ETF be the bitcoin, etherium and shortly solana having the ability to market make that on the noncustomer side just makes our edge a lot more impressive.
Joe, do you want to add anything?

Joseph Molluso

I just wanted to frame to just underline one thing you said, Chris, in the question when you said in the wholesaling retail business and then on exchange, right? So we don't think about it as off exchange, on exchange, right? We think about it as the Retail Wholesaling business and then kind of the noncustomer business, as Doug said, right?
So it's really -- it is -- there is quite some point it, but there's a US and non-US equity component, pretty much all the growth initiatives, options, ETM block, crypto capital markets within VES, but most of those are nonequity businesses.
And even some of the examples Doug gave like metals and foreign exchange and energy. Obviously, the distinction for us is not on exchange, off exchange. It's a customer versus noncustomer. And obviously, you know this, but in multiple asset quests.

Christopher Allen

Appreciate that. And just on my one follow-up, just kind of noted continued improvement against the opportunity set. So where are we in kind of that continuous improvement? I realize that you have a lot of different areas that you can kind of tighten the dials on, do you still see room in like how does it stand out kind of the current environment when things -- when obviously spreads widen out? Is it more just the environment? Or just you see you actually going to realize increased efficiencies with the environment as well?

Douglas Cifu

I mean it's a really good question. And we measure it in markets that are more benign in markets that are obviously heightened. And you're right, like during the times of volatility, particularly in the last couple of weeks, you see people high urgency. So, there's obviously a lot more spread crossing flow, and that's Nirvana for market banker.
But just in terms of absolute performance and growth -- and I sort of made this point in my prepared remarks, that sure, we're very focused on new areas like options, ETF Block, crypto, fixed income. But there's a continual and a lot of work being done to more of our, I guess, I'll call them more legacy businesses where we've become just better and more performance.
We've added strategies and predictors within our customer Market Making segment. We've made our noncustomer global equities, Market Making businesses more efficient. I can't overemphasize that this is a single unitary firm. It really goes back to the DNA, the Virtu Financial. We're a single firm.
We don't kind of trading pods. We don't give out trading guarantees. We don't pay people based on books. So there's an enormous amount of collaboration within the firm and that allows for internalization, which does a couple of things. It obviously makes you not pay exchange fees and clearing fees and things like that.
So by definition, our and Section 31 fees. So by definition, you're going to be more profitable. But it also enables you to execute without having to expose your intentions to the marketplace and so you could be more aggressive taking larger blocks and provide better two-sided pricing to your clients. So that's a key, key element to our success, and it was a big contributor in the first quarter.

Christopher Allen

Thanks guys. Appreciate the color and good luck in the playoffs.

Douglas Cifu

Thank you very much.

Operator

Dan Fannon, Jefferies.

Dan Fannon

Thanks, good morning. I wanted to come back to the $2 million per day in the VES business. Kind of what gives you that confidence to say this now? You talked about a lot of diversity of products and hiring. So maybe I guess, where the momentum is, if you could be a little more specific in terms of that business? And as you think about it, is just more cross selling more of the same? Or are there more things on the come that you expect to roll out?

Douglas Cifu

Thank you, Dan. Yes, we obviously don't typically give forecasts or talk about numbers like that. So we have a high degree of confidence based on a lot of the work that's deeper and a lot of great people at Virtu Execution Services have done in the last five, six years since we acquired ITG and integrated.
And this was really the road map that we tried to lay out in 2019, when we made the decision strategically to become bigger in an Execution Services segment. And it's really a number of components than that adds up. So it's just a bunch of signals. So it's our Virtu technology services platform, rolling it out to small to midsize broker-dealers that need a technology solution and even asset manager, they need the technology solution.
We've seen huge adoption of that. You're right. There's a great deal of cross-selling if someone's going to take our frontier global algo product. They very often will take an analytics product and then we try to sell and trade our execution management system. We've made a huge amount of enhancements and improvements to our workflow solutions and [analytic] solutions since the acquisition of ITG, essentially replatform those and change the gut for them.
So there are a lot more performance. In regular times in [bursts], we had -- I hear a single complaint about Triton during this recent April -- I'm sure there were some, but we handled them, but there's no systemic or global issues. And that's a huge improvement that we've made those products multi-asset class. We are a big believer in distribution partnerships.
So we're kind of agnostic. We're happy to have partners, sell-side firms, white label our products and be a technology provider. And in addition, we've made a number of product enhancements. For example, we've got this great switcher algo product, right, which is effectively like an algo of alcos that uses real high-level machine learning and some artificial intelligence to route orders intelligently.
We have an agency RFQ product now in fixed income, which was subset the marketplace was asking for. And as I mentioned earlier, we have multi-asset class Triton analytics products. So you can go to a large asset management and said, hey, we can be a one-stop solution for your credit traders, your equity traders, your fixed income gear -- excuse me, your FX traders. And so all of those one-plus two-plus three, the singles that we're hitting have really given us the confidence, if you will, in the results are proof is in to put in.
And on top of that, once we made a number of cultural changes, shall I say, within that business segment, we've really done a terrific job. Again, I guess Steve Cavoli and the guys a lot of credit by having a number of strategic hires. This is ultimately a customer-facing business and customer service and understanding the products, having folks in Virtu Execution Services even if they aren't software engineers, they need to understand the products and why and how -- (technical difficulty)

Operator

Please standby one moment. We are having a technical difficulty. So please stand by for one moment. Andrew, are you ready to continue, sir?

Douglas Cifu

Yes. Where did we drop?

Operator

It looks like that you were answering a question for Dan Fannon.

Douglas Cifu

Yes. Are we back live?

Operator

Yes, we are.

Douglas Cifu

Okay. Dan, I think I was pretty much done going through the four, five, six elements. I hope I answered your question. I don't know if you had a follow-up.

Dan Fannon

Yes. No, we got most of that. So I appreciate it. Just as a follow-up, there obviously is a bunch of debate around the sustainability of retail, and you talked about what's been happening more recently. Just want to make sure that there's nothing you're seeing from the flow or other parts of the market that would basically support this idea that retail is slowing or has the potential to slow in the short term?

Douglas Cifu

No, yeah, It's a good question. Obviously, we try to be front-footed and address it not only in the script, but we provided in the supplemental materials data. And the data doesn't lie, sure, you'll have as you will, in noncustomer segment, you'll have surges of interest, but we've seen retail hasn't pulled back. We've seen a very healthy and sustainable level of retail engagement.
If you look at Slide 7, you can see that the baseline has elevated and indeed, the key retail brokers have indicated that their account openings have continued to grow at pace. So like every part of the market, you'll have days where there's 10 billion shares of retail come into the market and other days where there's 2 billion. But at the end of the day, the long-term positive trends here has continued. I think the data is very, very clear that we provided in the supplemental materials. So I think that narrative is frankly just incorrect and is not supported by the data.

Dan Fannon

Great, thank you.

Operator

Ken Worthington, JP Morgan.

Ken Worthington

Hi, good morning, thanks for taking the question I wanted to maybe start on, I guess, what I'll call the core noncustomer Market Making business. I was hoping to get more color in terms of to what extent that, that business is sort of building and growing. So if possible, are you adding new symbols, new exchanges? Is it more headcount? Is it additional capital?
Are there other things that are getting the baseline in that business to grow? Or should we really just kind of go back to the other businesses that you talked about and focus on the growth in VES and the customer business, et cetera?

Douglas Cifu

Yes. It's a great question. And obviously, look, we struggle to provide as much information as we possibly can to you to validate that. And every time I -- in my prepared remarks, I comment on whether we've -- we're very self-critical, if you will, in terms of what should our performance be in terms of capture per unit, whether it's an FX payer Canada future or an equity or in digital assets and whatnot.
And so we score ourselves every day, and I was very clear in our remarks that we outperformed in just about every noncustomer Market Making segment that I can think of. And that is really the culmination of a couple of things. One, obviously, is investing heavily in technology to make sure that in terms of not only in latency in terms of execution, but throughput of market data and connectivity that we are there.
In equities, there's not only now 15 in the United States, It's 15 national securities exchanges. There's 40-odd ATSs that we're connected to that we do quite well, and we run a very significant single dealer platform. And so, streaming directly to customers and making sure that you manage toxicity and provide good execution quality to those customers, that's something that we strive for and continue to improve on.
And then lastly, I've mentioned it now 3 or 4 times, it's enhancing internalization within the firm. So it's hard to understate how important it is and how vibrant, I'll call our legacy businesses are. And over the last four, five years, we have seen a continual shift to the right of those businesses in the aggregate. Sure, some will have better days, weeks, months, quarters and years than others.
But the notion that somehow those businesses are diminishing or not growing is not correct. So we're very, very focused on continuing to diversify our revenue streams and add on to that, obviously, some of the new initiatives are in options and ETF block which has grown pretty dramatically in digital assets.
Joe, I don't know if you want to add.

Joseph Molluso

No, that's right -- I mean your question, Ken, what are we at new products, new markets? I mean, pretty much everything that we described or have described in the past, as an organic growth initiative is in this nonretail category. ETF block digital assets option.

Ken Worthington

Great thank you very much.

Operator

Craig Segenthaler, Bank of America.

Good morning. Thanks for taking the question. This is Ely on for Craig. Can you update us on the product road map for your crypto business? Specifically, what exchanges are you providing liquidity on today for what coins? And then how is that going to build out and expand over time?

Douglas Cifu

Yes, sure. I'm going to try to be as specific as I can. I'm not the youngest guy in the world, so I can't keep track of all of these coin deals or you're a young guy, so you probably have a better handle on them. I mean a lot of it really has been driven by our partners. So as you know, we're an investor in EDX.
EDX has asked us to expand our coverage both in terms of coins and in terms of hours. So we are now a 24/7 firm. We're doing a lot more than the big three -- so it's more than Bitcoin, etherium and Solana. We're doing about a dozen or so coins moving to close to two dozen. We won't go far out in the queue and do some of these I'll call them for one-off mean coins because those don't seem appropriate.
But anything that EDX and other partner firms like coin-based, bullish. I'm trying to think the other venues were connected to finance -- I'm sorry? Yes. So, Andrew is updating me here. What other venues are we connected to?

Andrew Smith

KX, Bybit, and Kraken --

Douglas Cifu

Right, there you go, Ely. In addition, we have now started a week like our VFX and VFI where we stream directly to counterparties. We have a VF crypto offering. We've made a couple of strategic hires in that area to build out more of what I'll call the institutional business. So streaming directly to buy-side firms, either through our own API or using the auspices of one of the aforementioned exchanges.
And then the last thing is that this business is a multi-asset class business, if you will, a multiproduct business because every day, you turn around, there's a new ETF that's about to be launched here in the United States, thankfully. You'll have levered and inverse products and then you'll have options on those products. We see the same thing in Europe and in Canada, a little bit in Brazil and in Asia as well.
And then there is perpetual futures as well like EDX has launched, for example, on these products. So think of this as a multitude of coins, ETF products globally, futures products, both listed and perpetual futures on other platforms. And then on top of that, we will offer a single deal of institutional streaming as well. So we are, I would say, kind of in the second inning, if you will, of a nine-inning game of building that out. We're happy to be a wholesale crypto liquidity provider.
And so, this is going to be no different, if you will, from our FX or other businesses that we've built out over the years. And then the last thing is, to the extent there's institutional support for this business, there's no reason we couldn't support digital asset products, and we already have a road map for this to the extent this investor demand on our Triton product, right? So traders could access markets through our execution management system, and we're more than happy and prepared to have execution service algos to support those. So this is truly a product or an asset class, if you will, that spans the firm.

Got it. And for a follow-up, there has been some news flow about you guys getting new competition and Virtu technology services with Citadel Securities and Jane Street both also looking to do more of that sort of outsourced trading business with sell-side firms. Can you talk a little bit about how your offering stacks up against these competing solutions being rolled out by your competitors?

Douglas Cifu

Yes. It's a really good question. Look, I mean, Citadel and Jane are both terrific firms run by great people, and we're friend of me, I guess, right, because we collaborate on exchanges and regulatory matters, right? So I have nothing but respect for both of those firms and their leadership.
I've said that many, many, many times. I think it's a very different product offering. Their offering is more of a white label RFQ product that connects to like a bank partner, right? And we'll provide them with liquidity that their partner then could kind of repackage, mark up and share with their clients.
That's a great business. It can be focused on like maybe one or two larger dealers. And it's a very -- it's a holistic partnership. We've done that before. We did that historically with the Bank of New York in FX, for example. It doesn't scale particularly well. It's very intensive. It obviously can be very profitable. Our business is completely different. It's an offering that is more of an agency aggregation tool for smaller regional broker-dealers and asset managers, and it's got -- it's more commoditized, and it scales exceptionally well.
And the benefit of that, obviously, is you have a larger addressable marketplace. It's more of a commoditized product that's easier to get out there and it's easier to support. And it provides us the benefit of being able to if we choose, and obviously, we generally choose to be a liquidity provider with respect to that broker-dealer. But again, we're going to be Switzerland.
So we're going to allow them to access, if they want to access Citadel James Street, Hudson River and all these other great firms, that's their prerogative, will be a liquidity provider on a wheel, but it's really empowering firms that don't have the resources that we do in order to execute -- to provide that capability to their end users as opposed to like a single large partnership. So, I think it's -- it's a very, very different approach and a very different philosophy, and that's how I would distinguish it.

Got it, thank you.

Douglas Cifu

Thank you.

Operator

I am showing no further questions at this time. I would now like to turn the call back over to Doug for closing remarks.

Douglas Cifu

Thank you, everybody, for joining us today, and we very much look forward to addressing the second quarter in July of this year. Thank you, everybody.

Operator

This concludes today's conference call. Thank you for participating. You may now disconnect.