Cryptocurrency exchange Crypto.com agreed to buy North American Derivatives Exchange (Nadex) and Small Exchange Inc. to expand its presence in the U.S.
Both exchanges are part of the North American branch of London-based IG Group, the FTSE 250-listed online-trading firm with a market cap of around $4.3 billion. IG owns 39% of Small Exchange, and will receive a total of $216 million from the transaction, IG announced Wednesday.Small Exchange has also previously received backing from Interactive Brokers Group, PhillipCapital, Jump Capital, Citadel and Peak6 Investments, according to Crunchbase. Investor Tastytrade was bought by IG in January.The deal is expected to close in the first half of 2022 subject to regulatory approval.Crypto.com will use the acquisition as a gateway to trade certain derivatives and futures products for U.S.-based customers.Nadex is a U.S-based online exchange and clearing house offering retail-focused derivatives products on the some of the major global markets, while Small Exchange provides small, simplified futures products also for retail investors.
UPDATE (Dec. 1, 9:13 UTC): Adds other Small Exchange investors in second bullet point.