Companies that move funds across different currencies and markets need access to liquidity to operate efficiently. This can include payments, conversions, trading, payouts, and settlements.
However, choosing a liquidity partner is not simply about finding a company with funds available. It is important to understand whether the available infrastructure can meet the business's needs, scale with its growth, and integrate with the systems it already uses.
For example, consider a fintech that processes payments in Brazilian reais and US dollars, or an exchange that needs to execute thousands of conversions between BRL, stablecoins, and other digital assets. In both cases, having access to the right resources at the right time is essential for keeping operations running smoothly.
That is why choosing a liquidity partner requires looking at different aspects of the financial infrastructure.
What Is a Liquidity Partner?
A liquidity partner is an institution or company that provides or connects a business to the resources it needs to carry out certain financial operations.
Depending on the model, this infrastructure can provide access to different currencies, markets, and liquidity sources, allowing a company to execute conversions, payments, trades, or settlements.
In practice, the partner becomes part of the infrastructure that supports the business's financial flows.
For example, a company may need to convert Brazilian reais into US dollars to pay an international supplier. Having a balance in BRL is not enough. The company also needs an infrastructure capable of executing the conversion and making the required USD available to complete the payment.
That is why the quality of the infrastructure can directly affect the efficiency and predictability of financial flows.
What to Consider When Choosing a Liquidity Partner
There is no single liquidity model that works for every business. The right infrastructure depends on the type of operation, the markets involved, and the volume of funds being moved.
The following criteria can help determine whether a partner is prepared to meet these needs.
1. Supported Currencies and Markets
The first step is to check whether the partner supports the currencies used by the business and can serve the markets where it operates.
For example, a company that moves funds in Brazilian reais, US dollars, and euros needs access to liquidity in those currencies. It is also important to understand which countries are supported and whether that coverage can keep up with the company's expansion plans.
This becomes even more important for businesses planning to enter new markets. An infrastructure with limited geographic coverage may require the company to add new providers as it grows.
2. Processing Capacity
The number of transactions a partner can process should also be part of the evaluation.
An infrastructure that works for a company processing a few hundred transactions may not be enough for a business handling thousands of operations every day.
It is therefore worth understanding:
how many transactions the partner can process;
how the infrastructure performs during periods of higher demand;
whether there are limits for specific types of transactions;
how its capacity can scale with the company's growth.
The infrastructure needs to be prepared not only for current volumes but also for the business's expected growth.
3. Diversity of Liquidity Sources
Another important point is understanding where the resources used in transactions come from.
A partner that depends on a single source may have less flexibility when serving different currencies, markets, and transaction volumes. An infrastructure connected to multiple providers can have more alternatives for executing each transaction.
This diversity can be especially valuable when demand changes or when a particular liquidity route is not the most suitable option.
For example, a company converting a large amount of Brazilian reais into US dollars may have different needs from an exchange executing thousands of smaller conversions between BRL and stablecoins.
Access to multiple sources allows the financial flow to be adapted to the characteristics of each transaction.
4. Execution Speed and Predictability
The time required to execute and settle a transaction can directly affect a company's financial flow.
Knowing that a partner can execute a conversion or payment is not enough. It is also important to understand how long each stage of the process takes.
Some points to evaluate include:
execution times;
settlement times;
differences between currencies and markets;
availability across different time zones and operating hours;
transaction status tracking.
The more predictable the process, the easier it is to plan payments, receipts, and other financial movements.
5. Technology and Integration
Liquidity needs to be connected to the company's operations so financial flows can be executed efficiently.
Through APIs, a partner can allow financial services to be integrated directly into the company's internal systems.
This can help automate activities such as:
currency conversion;
payments;
collections and receipts;
settlement;
balance inquiries;
transaction tracking.
For companies processing large volumes, this integration reduces manual tasks and makes it easier to control financial movements.
It is also important to evaluate the quality of the technical documentation, the resources available through the APIs, and the support provided during integration.
6. Security and Compliance
Financial operations need appropriate security controls and must comply with applicable regulatory requirements.
When evaluating a partner, it is important to understand which processes are included in the infrastructure, such as:
customer identification;
KYC (Know Your Customer);
AML (Anti-Money Laundering);
transaction monitoring;
security controls;
transaction traceability.
It is also important to clearly define which responsibilities belong to the partner and which remain under the company's management.
This division helps prevent uncertainty during operations and ensures that the necessary controls are in place throughout the financial flow.
7. Ability to Support Different Operations
Liquidity can be required at different stages of a company's operations.
An exchange may need resources for trading, conversions, and payouts. A fintech may use liquidity for payments and collections. A global company may need it for foreign exchange and international payments.
For this reason, it is worth assessing whether the partner can support different types of financial flows within the same infrastructure.
When multiple services can be connected, the company can reduce the need to manage different providers for each stage of the operation.
8. Experience in the Relevant Markets
A partner's experience should also be part of the evaluation.
Each market has its own characteristics, including currencies, payment systems, financial institutions, and regulatory requirements.
A partner with experience in the markets where the company operates can make it easier to structure financial flows and identify the most suitable alternatives for each transaction.
For businesses that work across both traditional financial infrastructure and digital assets, it can also be valuable to choose a provider capable of connecting banks, liquidity providers, payment systems, and blockchain networks.
Liquidity as Part of the Financial Infrastructure
Liquidity does not operate in isolation. It is connected to other components of the operation, including payments, foreign exchange, accounts, settlement, and technology.
Imagine a company that receives Brazilian reais, converts part of the funds into US dollars, and uses a stablecoin at one stage before making an international payment.
For this flow to work, different systems and participants need to be connected.
That is why companies operating across multiple markets can benefit from infrastructure capable of combining different components within a single structure. This allows liquidity to work together with the other services required to execute each transaction.
In practice, instead of managing a liquidity provider, an FX partner, a payment infrastructure, and a blockchain solution separately, the company can connect different resources through a single integration.
How Transfero Supports Different Operations
Transfero connects businesses to different liquidity sources and financial infrastructure components, supporting operations across traditional and digital markets.
The infrastructure can support the needs of different segments, including:
Exchanges: conversions between BRL, stablecoins, and other digital assets;
Fintechs: payments, collections, and financial transactions;
Betting platforms: deposits, payouts, and BRL settlement;
International operations: currency conversions and payments in different currencies;
Global companies: financial movements across different markets.
In addition to providing access to liquidity, the infrastructure connects banks, liquidity providers, payment systems, and blockchain networks, allowing different financial flows to be structured according to each company's needs.
This integration enables liquidity, FX, payments, and settlement to operate within a connected infrastructure, reducing the complexity of managing each component separately.
Which Liquidity Partner Is Right for Your Business?
The right choice depends primarily on the type of operation the company needs to perform.
Before selecting a partner, it is worth evaluating:
Which currencies and markets need to be supported?
What is the current and expected transaction volume?
How many liquidity sources are available?
What are the execution and settlement times?
Can the infrastructure be integrated through APIs?
Which security and compliance processes are included?
Can the partner support the company's growth?
Can different financial flows be managed through the same infrastructure?
Answering these questions helps prevent a decision based solely on price or available volume.
The right partner is one whose infrastructure can adapt to the characteristics of the operation and provide the resources needed for the company to pay, convert, trade, and settle funds efficiently.
Simplify Access to Liquidity
For companies moving funds across different currencies and markets, access to liquidity is only part of the challenge. That liquidity also needs to be connected to the other components that keep the operation running.
Transfero combines liquidity, payments, foreign exchange, settlement, and technology to support businesses across different segments and markets.
Does your company need access to liquidity across different currencies and markets for payments, conversions, or digital asset operations?
Talk to our commercial team to discover how Transfero's financial infrastructure can support your operations.
