GFO-X concludes a $30 million seed round led by M&G Investments
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Global Futures and Options (GFO-X), a growing digital asset trading startup, recently concluded a highly successful seed round that managed to raise $30 million. The round was concluded ahead of the platform’s forthcoming launch, and it was led by M&G Investments.
Britain's M&G invests in crypto derivatives platform GFO-X https://t.co/ajYvorpWSV pic.twitter.com/GzQQ7smtCO
— Reuters (@Reuters) December 11, 2023
Securing the future for a new asset class
GFO-X is preparing to launch a new marketplace for digital asset derivatives aimed at institutional investors. The company previously managed to secure an agreement with the London Stock Exchange clearing house LCH for secure settlements in May of this year.
The deal will allow secure settlements using a segregated central counterparty clearing service known as LCH DigitalAssetClear. LCH SA’s CEO, Quarantine Poilvet-Cladiere, commented on the arrangement, stating that LCH SA is excited to enter this collaboration with GFO-X.
The two intend to provide a regulated marketplace for Bitcoin index futures and options while also looking to expand LCH SA’s services and become a truly international clearing house. Poilvet-Cladiere also noted that the clearing house is looking forward to the launch of the service and is ensuring the safe development and growth of the new asset class. Given that the demand from institutional market participants is seeing a sharp rise, this is something that is of great importance to the company.
Meanwhile, M&G’s portfolio manager, Jeremy Punnett, also commented on the state of the market. He said that the lack of regulated trading venues at this time is materially hampering the growth of the crypto derivatives trading sector, which is why M&G saw an opportunity to change that by supporting GFO-X.
He added that the UK has great potential to become a global hub for crypto asset technology and investment. With that in mind, London is a perfect destination for GFO-X’s new global trading venue. “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,” he concluded.
M&G’s support will be crucial for GFO-X moving forward
The CEO of GFO-X, Arnab Sen, also made a statement, noting that the arrival of digital assets into mainstream finance can only happen if they gain the support of traditional market infrastructures.
With that being the case, the long-term visibility of digital assets, as well as the digitization of real tangible assets, requires careful collaboration between modern innovators and traditional market participants. Sen noted that having a patient long-term capital partner is crucial, which is why M&G’s support is so important. The company’s support and help will be crucial for GFO-X as it works on building the next generation of global financial market infrastructure for the digital assets sector.
