MCX to go live with new commodity derivatives platform on October 3
The Multi Commodity Exchange of India (MCX) is poised to unveil a cutting-edge web-based commodity derivatives platform (CDP) on October 3, accompanied by a planned mock session scheduled for a day earlier.
This strategic move aims to provide users with an opportunity to familiarize themselves with the platform’s features and functionalities in advance of its official launch. The mock session is designed to ensure a seamless transition for users as they adapt to this innovative commodity derivatives platform, underscoring MCX’s commitment to delivering an enhanced and user-friendly trading experience.
In the lead-up to this significant development, the stock of the Mumbai-based commodity exchange has witnessed a remarkable surge in value. Over the past month, MCX’s stock has surged by an impressive 18 percent, outperforming the benchmark Sensex index, which saw a comparatively modest rise of 1.4 percent during the same period. Furthermore, earlier this week, MCX’s stock achieved a notable milestone by reaching a 52-week high, with shares trading at Rs 1,962 apiece.
This surge in the stock’s value and the launch of the new web-based commodity derivatives platform are indicative of MCX’s commitment to innovation and its efforts to provide enhanced services and opportunities for market participants in the field of commodity trading. The introduction of the CDP represents a significant step forward in this endeavor, and market participants will be closely watching its impact on commodity trading in India.
In a circular dated September 27, the Multi Commodity Exchange of India (MCX) announced key details about its upcoming commodity derivatives platform (CDP). According to the circular, the CDP platform is designed to interface with members, offering a range of essential services related to risk management, collateral management, and settlement for both members and market participants.
As part of its user-friendly approach, the system will be accessible for logging in starting at 6 am. This early access window aims to facilitate seamless login and verification processes for participants, enabling them to efficiently manage their commodity trading activities. By providing such features and services, MCX seeks to enhance the overall trading experience and risk management capabilities for its members and the broader market community.
During the mock session scheduled for October 2, MCX has made it convenient for users to log in using the IDs provided in the mock environment. These IDs will be seamlessly carried forward into the new system upon its implementation, ensuring a smooth transition for users.
In preparation for the launch, the new front-end platforms, MCX Trade Station and Member Control Station (MCS), will be made available on the Secure File Transfer Protocol (SFTP) server starting from September 30.
SFTP is known for its robust security features, including shell encryption, which ensures a high level of data security and protection. This emphasis on security and user-friendly access underscores MCX’s commitment to providing a secure and efficient trading environment for its members and market participants as they adapt to the new commodity derivatives platform.
The Multi Commodity Exchange of India (MCX) is making significant strides in bolstering security and optimizing its operational infrastructure. Among its key initiatives, MCX has introduced a robust two-factor authentication system for members, leveraging Google Authenticator for time-based one-time codes (TOPT). This advanced security measure enhances the protection of user logins and the security of sensitive data and transactions.
Additionally, MCX is launching a new web portal interface called “e-Clear” alongside its commodity derivatives platform. This interface is poised to enhance user experiences and provide a seamless platform for various functions, including trading, clearing, and settlements.
Notably, MCX is also in the process of parting ways with its former anchor shareholder, 63 Moon Technologies, a move that entails a critical technology platform crucial to MCX’s daily operations encompassing trading, clearing, and settlements. These strategic endeavors underscore MCX’s commitment to modernizing its technology infrastructure, fortifying security, and optimizing operational efficiency for the benefit of its members and the broader commodity trading market.
