Everyone was optimizing algorithms. Fogo optimized distance.
That’s the quiet insight behind its Tokyo colocation strategy. In electronic markets, speed isn’t just about better code - it’s about geography. By placing infrastructure physically close to major liquidity hubs in Tokyo, Fogo reduces the time it takes for orders and market data to travel. We’re talking milliseconds, sometimes less. But in trading, a millisecond can decide queue position - whether you’re first in line for a fill or watching someone else take it.
On the surface, colocation means faster execution. Underneath, it means lower latency variance - more consistent response times. That steadiness matters because predictable latency improves fill rates, reduces slippage, and makes risk controls more responsive. A few basis points saved per trade doesn’t sound dramatic, but multiplied across high-frequency volume, it compounds into real edge.
Tokyo isn’t symbolic. It’s one of Asia’s densest network hubs, bridging regional liquidity with global flows. By anchoring there, Fogo is building around physics - cable length, routing paths, propagation delay - instead of just token incentives.
Crypto often talks decentralization. Fogo is betting that execution quality, grounded in physical proximity, is what actually wins liquidity.
Sometimes the shortest cable is the strongest moat.
