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Voyager Digital Buys European Crypto Exchange Focused on Institutional Investors

News Feed - 2020-10-24 12:10:14

Voyager Digital Buys European Crypto Exchange Focused on Institutional Investors


Crypto-asset broker Voyager Digital Ltd is buying LGO Markets, a French cryptocurrency exchange focused on corporate investors. The two firms will merge under one brand, Voyager, and their two separate native tokens, VGX and LGO, will also merge.


The deal grants Voyager, a Canadian Securities Exchange-listed (CSE) firm, access to the European retail market through LGO’s Virtual Asset Service Provider licence held with the French financial regulator, industry media reports.


LGO will cease to concentrate on institutional investors on Oct. 31, as it simultaneously assumes the Voyager brand. To complete the acquisition, Voyager will issue one million shares, whose value will, in part, determine the ultimate deal price.


The other part will depend on the value of the merged in-house crypto token, which, according to reports, will feature “decentralized finance functions such as community governance and staking at an initial interest rate of 7%.”


The deal is still subject to regulatory approval. Shares of Voyager fell 2.3% to 0.56 Canadian dollars ($0.43) in CSE trading Friday. The stock is down more than 16% since the news of the acquisition broke out on Oct. 21. Voyager has a market value of $36.5 million.


Voyager chief executive officer, Hugo Renaudin, was quoted as saying: European clients will be able to access the Voyager app using the LGO regulatory setup in Europe, and both LGO and VGX tokens will be merged into a new token.


He added that the “new token will have more utility”, to the benefit of token holders in the U.S., Europe and elsewhere.


LGO touts itself as a “leading” crypto exchange for institutions, which provides “customizable services, best in class technology, and deep liquidity.” The platform caters to businesses “looking to buy/sell or lend/borrow digital assets.”


What do you think about the merger of Voyager and LGO? Let us know in the comments section below. Mastermind of Alleged Billion Dollar Spanish Pyramid Scheme Arrested, Faces 16 Year Prison Sentence NEWS | 14 hours ago Bitcoin Businesses on the Mend: Report Shows 57% of Crypto Execs Expect the Industry to Accelerate, Companies Are Hiring NEWS | 18 hours ago Tags in this story Canadian Securities Exchange, Crypto asset broker, Europe, Hugo Renaudin, LGO Markets, Mergers and acquisitions, Voyager Digital Ltd


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