Crypto's latest M&A deal features a unique element: a token 'merger'

European crypto exchange LGO and publicly traded brokerage Voyager are merging.

The deal is the latest M&A deal in the digital asset market following tie-ups between Binance and CoinMarketCap as well as FTX and Blockfolio. A spokesman for LGO did not comment on the specific financial details of the merger, noting that LGO's assets will be "operated under the Voyager brand."

The deal will enable Voyager to expand into Europe, according to a statement from CEO Steve Ehrlich, a former executive at E*Trade. 

As part of the merger, LGO will sunset its institutional exchange business and transfer the remainder of its assets — namely its clients and relationships — to Voyager. Interestingly, the deal is unique because the firm's respective tokens will, in a sense, merge as well. The firms did not rely on investment bankers to facilitate the transaction.

"As part of the merger, the next version of the Voyager token will be minted which will allow holders of the VGX and LGO token holders to swap into the new token," according to the companies. "The holder ownership percentages will commensurate with the existing fully diluted market caps of the tokens. The new token will include decentralized finance features such as community governance."

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