London Stock Exchange Buys TORA for $325 Million to Expands Crypto Reach
The leading British financial markets infrastructure – London Stock Exchange Group – will acquire the trading tech solutions provider TORA for $325 million. The initiative aims to strengthen LSEG’s presence in the cryptocurrency sector.
London Stock Exchange Dives Deeper
According to a recent announcement, the London Stock Exchange Group will pay $325 million in an all-cash transaction to acquire TORA. Upon completing the settlement, the latter will sit within LSEG’s Data & Analytics division as part of its Trading & Banking Solutions business.
The acquisition will allow LSEG to expand its presence in the digital asset sector. “Combining TORA’s international footprint with LSEG’s global reach will drive further growth, and we look forward to collaborating in order to continue this expansion,” Dean Berry – a top executive at the exchange – said.
The deal will also help LSEG to stretch not only to Europe but also North America and Asia, where the majority of TORA’s clients are based.
Chief Executive Officer at the fintech company – Robert Dykes – said his firm “couldn’t have asked for a better partner than LSEG.” He opined that the best features of the two entities could create “the most advanced trading solutions for clients.”
London Stock Exchange Group stepped into the digital asset universe in 2019. Back then, it bought a stake in London-based Nivaura – a company seeking to digitize primary markets using blockchain technology.
In 2018 TORA teamed up with the investment firm Kenetic to launch its cryptocurrency trading platform Caspian. It provides a single interface into many leading digital asset trading venues.
London Should Focus on Crypto
The British authorities, and especially the Bank of England’s executives, are among the biggest opponents of the cryptocurrency industry. Jon Cunliffe – Deputy Governor at the institution – recently claimed that the sector could endanger the country’s financial stability.
Andrew Bailey – Governor at the Bank of England – went further, expressing concerns over El Salvador’s decision to make bitcoin a legal tender. “What would worry me most of all is, do the citizens of El Salvador understand the nature and volatility of the currency they have,” he said.
However, Britain’s ex-Chancellor Philip Hammond does not stand among those critics. Not long ago, he urged the UK authorities to take the crypto industry seriously, which would secure London’s monetary position in the post-Brexit period.
He warned that ignoring the asset class is not wise since many European nations have begun embracing it. Otherwise, the UK risks being surpassed by its competitors, Hammond concluded.
Featured Image Courtesy of StockNews24
