OneChronos, a technology company leveraging advances in auction theory and artificial intelligence to optimize financial markets, announced today the completion of its Series B investment round of $40 million. The financing was led by Addition.
OneChronos operates Smart Market periodic auctions at the speed, scale, and resiliency required of the most demanding electronic capital markets. Starting with U.S. equities, these auctions optimize for “best execution,” fostering competition on transaction quality rather than speed. Launched in Q3 2022, the Company has so far facilitated more than $60 billion in institutional securities transactions, with volumes growing more than 35% month over month.
Growth has been driven by strong execution performance, as evaluated by OneChronos’ network of over 45 banks, brokers, and dealers servicing thousands of asset managers for their electronic trading needs.
The funds raised will help OneChronos expand to new markets and launch new products that allow additional strategy-level constraints within auctions. Doing so will unlock mutually beneficial trading opportunities missed by legacy auction and market formats, and further enhance potential execution quality of trading algorithms and workflows.
“OneChronos has clearly demonstrated the execution quality advantage of its product in a highly competitive and established market,” said Andrew Miskiewicz, Investor at Addition. “We look forward to supporting the OneChronos team as they continue solving the unique challenges of operating high-speed Smart Markets, positioning them as the industry leader.”
While Smart Markets have been used in other industries, their use in capital markets requires unprecedented speed, scale, and resiliency. A core technical challenge is running these auctions within milliseconds. The OneChronos team operates at the intersection of state-of-the-art computer engineering, AI/ML approaches, mechanism design, and operations research; all of which are applied to capital markets in order to meet these unique needs.
Kelly Littlepage, Chief Executive Officer and Founder of OneChronos, said, “We founded OneChronos as a team of institutional investors, traders, and technologists with a deep appreciation for the cost and complexity of institutional trading and the staggering investment returns lost to market friction. Markets like digital display advertising drew their inspiration from capital markets but quickly evolved beyond after seeing the compelling results modern market mechanisms delivered. Capital markets still use 200+ year-old mechanics predating modern theory and computing capabilities. We’re incredibly excited to partner with Addition in our journey to change that, and grow the global GDP by helping institutions better optimize their investment objectives.”
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