Deutsche Börse Group, the German exchange operator, has acquired a majority stake in Swiss fintech firm Crypto Finance AG.
Deutsche Börse will take a two-thirds majority shareholding in the business in exchange for an investment in “a moderate three-digit CHF million range,” according to a press release.
Crypto Finance AG offers crypto trading, storage and investment tools in over 200 digital assets for institutional and professional clients. The Zug-based business is regulated by The Swiss Financial Market Supervisory Authority (FINMA), the Swiss regulator.
Through the acquisition, Deutsche Börse aims to extend its digital assets capabilities by providing a direct entry point for investments, including post-trade services such as custody.
“Digital assets will transform the financial industry. There is increasing demand from established financial institutions who are looking to become active in this new asset class and want a trusted partner,” said Thomas Book, executive board member for trading and clearing at Deutsche Börse.
Book added that Crypto Finance complements Deutsche Börse’s existing digital assets initiatives, which include an investment in 360X — a digital asset marketplace for real estate and art — and centrally cleared crypto exchange-traded notes (ETNs).
Crypto Finance’s founder and CEO Jan Brzezek will remain at the helm of the business. The deal is expected to close in the fourth quarter of 2021, subject to regulatory approvals.