Selecting the ideal server is a complex decision for Forex Brokers, and involves multiple crucial considerations. This holds especially true for FX Brokers who utilize a liquidity bridge, as they have even more reason to prioritize a resilient server infrastructure.
In this article, we will break down the key points that FX Brokers should consider when it comes to choosing the right server for their liquidity bridge to function optimally.
What is a Liquidity Bridge
A liquidity bridge, or simply bridge, is a piece of software that connects trading platforms like cTrader, MT4 or MT5 to multiple liquidity providers. A bridge acts as the intermediary that facilitates the seamless execution of trades by allowing access to a wide range of liquidity sources. Put simply, the bridge works by amassing liquidity from multiple sources, thus providing traders with better access to competitive pricing and deeper liquidity pools.
3 Key Points to Consider when Choosing a Liquidity Bridge Server
For many brokers who wish to expand their business and offer their services to high-volume traders, a liquidity bridge serves as a key component within their trading infrastructure. In order to implement a bridge successfully, the following points need to be considered.
Location and Latency
In order for trades to be executed flawlessly, the consistent reliability of a liquidity bridge is fundamental, and your server location plays a huge role in achieving this. By opting for a server housed in a data centre in a strategic financial location, you are able to maintain the optimal connectivity and low latency required for your liquidity bridge to run efficiently.
For the rapid execution of trades without slippage, there needs to be minimal delay in transmitting data, which is why choosing the ideal environment for your server is paramount.
For decades London has been recognized as the world’s leading financial centre, with over 40% of all forex transactions taking place in the city. Read why London is considered to be the best hosting location for forex brokers >>
Security and Compliance
When choosing the right server for your liquidity bridge, security considerations should not be taken lightly. Opt for a location that minimizes exposure to natural disasters, and that your chosen data centre holds full certifications and adheres to regulatory standards.
In addition to that, it’s important that your server is equipped with the necessary security measures to minimise the risk of data breaches, as well as protection from DDoS attacks which are rife within the financial industry.
Reliability and Uptime
A reliable server is crucial for uninterrupted trading activities, so checking your hosting provider’s uptime guarantee is essential. An uptime of 99.9% is considered a standard benchmark in the industry, ensuring minimal disruptions to your trading operations.
It’s also important to check the level of customer support you can expect to receive from your provider. Make sure to verify their methods of communication, 24/7 availability and swift response times, especially during critical trading hours.
Deploy a Liquidity Bridge Server with NetShop ISP
With over 15 years’ experience in the Forex industry, our expertise in delivering hosting solutions tailored for brokers and traders is unparalleled. Through our hosting solutions and cutting-edge technology, we proudly provide the foundation for success for thousands of our clients within the financial sectors.
The most popular location for hosting liquidity bridge servers is in London through our Equinix LD7 infrastructure where you get 99.99% uptime SLA backed by ultra-low latency to the majority of liquidity providers within the Equinix IBX ecosystem.
Contact one of our representatives for a quick quote or simply request a free trial service.