Rails Infrastructure

Derivatives infrastructure for institutions

Rails Infrastructure lets institutions, brokerages and fintechs offer regulated perpetuals and options trading to their end users without building it themselves. Traders signup directly with their preferred Futures Commission Merchant (FCM) platform to trade on Rails. We provide the regulatory foundation, the execution layer, and the liquidity all through a single API integration.

Rails Infrastructure is operated by Rails Markets Inc., a Delaware corporation that is registered as an Introducing Broker (”IB”) with the Commodity Futures Trading Commission (”CFTC”) and a member of the National Futures Association (”NFA”) under NFA ID #0570586.

Read more about our Compliance program here.

Architecture Overview

Rails sits between partner-facing distribution and the regulated core. Partners integrate once against the API and SDK layer, and Rails handles order matching the risk engine and settlement.

Rails’ architecture enables diverse participants, including both institutional and retail users, to access multi-asset derivative products through a single, unified integration with our regulated platform.

By integrating proprietary order processing logic, a deterministic matching engine, and atomic settlement, Rails provides a seamless and institutional-grade experience for all participants. The foundational design objectives include:

• High-throughput transaction reliability and guaranteed response signalling

• Exceptional low-latency execution across the critical order path

• A fair and auditable matching engine with built in native strategies

• Specialized margin isolation across options, perpetuals, and futures to support asset-specific risk-liquidation protocols

API

Unlike traditional trading APIs that rely on fragmented endpoints and complex infrastructure, the Rails API is designed specifically for speed, simplicity, and operational reliability. Built on HTTP and low-latency WebSockets, Rails gives developers everything they need to ship institutional trading automation with complete confidence.

• All-in-One Developer Hub: Streamline your stack with HTTP APIs, low-latency WebSockets, and real-time market data, all under one roof.

• Unified Connection Execution: Place orders, stream live data, and trigger cancellations over a single connection rather than juggling multiple endpoints.

• Instant Capital Protection: Cancellations are prioritized through the network so you can de-risk your position instantly when market conditions change.

• Smart Order Tracking: Built-in fill and average-price calculations track your order lifecycle automatically without complex reconciliation.

• Risk-Free Testing: Build and test with confidence using a dedicated Sandbox environment that mirrors live production, backed by clear, predictable rate limits.

Custody

Rails Infrastructure supports an off-exchange settlement (OES) model using regulated DCO & DCM relationships.

Assets stay under the protection of a regulated custodian throughout the trading lifecycle.

• Rails does not take custody of capital.

• The qualified custodian (DCO) attests to available collateral.

• Rails uses these certified balances as inputs to the margin engine.

• Net settlement of realized P&L, funding, and fees occurs daily

Rails ensures strict adherence to institutional custody and collateral management guidelines across regional jurisdictions. By partnering directly with institutional custodians, Futures Commissions Merchants (FCMs), and clearing organizations, Rails provides transparent, segregated asset protection tailored to regional requirements.