Professional investors and banks will be able to trade digital assets on Deutsche Börse.
German stock exchange Deutsche Börse has acquired a majority stake in Swiss digital asset management company Crypto Finance. The deal amount was not disclosed.
The acquisition agreement was signed in June.
Deutsche Börse can now offer financial institutions and professional investors direct access to digital asset trading, according to a press release. Collaboration between companies will also help optimize exchange processes and systems.
“The acquisition lays the foundation for building an independent, transparent and scalable digital asset ecosystem under European regulations,” the exchange said in a press release.
Crypto Finance will use its exchange infrastructure and capital to scale up the crypto company team and expand services. The partners plan to increase the number of clients in Germany and Singapore.
Eric Leopold, Head of Money Markets at Deutsche Börse, has been appointed Chairman of the Crypto Finance Board of Directors.
Crypto founder Jan Brzezek and other executives will continue to work in Crypto Finance. Top management will also retain a “substantial” stake in the startup’s equity.
As a reminder, Deutsche Börse has shown interest in crypto assets since 2017. In 2018, the exchange got its own blockchain division. In April this year, Deutsche Börse announced work on the creation of a blockchain marketplace for tokenized art and real estate.
Digital asset management company Crypto Finance was founded in 2017 in Switzerland. Crypto startups help banks and investment companies trade and store digital assets. In 2018, a subsidiary of Crypto Fund AG received a license from FINMA to work with digital assets. In four funding rounds, Crypto Finance has raised CHF 36.1 million ($39 million), according to Crunchbase. Nearly half of this amount – $14.5 million – was received in April last year.
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