M&G Investments has taken the lead in a substantial $30 million seed funding round for the pioneering digital asset trading startup, Global Futures and Options (GFO-X). This significant investment comes as GFO-X gears up for the imminent launch of its cutting-edge digital asset derivatives marketplace tailored for institutional investors. Earlier in May, the company solidified a crucial partnership with the London Stock Exchange clearing house, LCH, ensuring a secure settlement mechanism through its groundbreaking segregated central counterparty clearing service, LCH DigitalAssetClear.
Transforming Digital Asset Trading
In an era where digital assets are gaining prominence, GFO-X positions itself at the forefront by not only introducing a new marketplace but also by securing strategic partnerships with key industry players. The $30 million seed funding, spearheaded by M&G Investments, is a testament to the confidence in GFO-X’s vision and its potential impact on the institutional crypto trading landscape. As the platform inches closer to its official launch, anticipation builds around how it will shape the future of digital asset derivatives trading for institutional investors globally. It’s an another positive UK fintech news update with this funding.
Corentine Poilvet-Clédière, CEO, LCH SA says: “LCH SA is excited to be working with GFO-X, together with the industry, to provide a regulated marketplace for bitcoin index futures and options as we look to expand our services to become a truly international clearing house. We look forward to the launch of the service, ensuring the safe growth and development of this asset class as demand from institutional market participants grows.”
M&G portfolio manager, Jeremy Punnett, says the lack of regulated trading venues is materially hampering the growth of the crypto derivatives trading market.
“The UK has the potential to become a global hub for crypto asset technology and investment, making London an excellent destination for GFO-X’s new global trading venue,” he says. “This investment enables GFO-X to scale its operations as the business is set to benefit from investors shifting their trading from unregulated to regulated venues.”
Arnab Sen, CEO of GFO-X, say the transition of digital assets into mainstream finance will only happen with the support of traditional market infrastructures.
“The long-term viability of digital assets and the digitisation of real tangible assets requires careful collaboration between traditional market participants and modern innovators,” he says. “Having a patient long term capital partner such as M&G is crucial as we build the next generation of global financial market infrastructure for digital assets.”
To know more about other trending usecases in the US financial services industry, like Generative AI, Open Banking, Buy Now Pay Later (BNPL), explore our other insights.
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