CMC Markets acquires 33% stake in UK blockchain firm StrikeX
“This is a major strategic investment in the growing Web 3.0 technology space of which StrikeX Technologies gives us access to the very best technology and advancements. StrikeX is a brilliant, young dynamic company, with a very talented team that has its finger on the pulse of fast moving technologies.”
CMC Markets has agreed to acquire a 33% stake in StrikeX Technologies Ltd, a blockchain solutions business headquartered in London in a “significant milestone for both companies and the digital asset industry”, the online trading company announced.
The London-based provider of online retail and institutional trading platform technology did not give the terms of the investment, but the deal announcement comes one month after StrikeX launched its Web3 Consultancy Services and signed a “prominent UK-based financial institution with global operations” as its inaugural client.
StrikeX’s new consultancy service aims to educate and advise traditional financial institutions on the potential of the rapidly evolving digital landscape by providing educational guidance and the necessary tools to navigate the realm of blockchain.
A major strategic investment in the growing Web 3.0 technology space
The investment in StrikeX signals CMC Markets’ intention of positioning itself at the forefront of this transformative market in order to thrive in the evolving digital landscape, namely in blockchain technology, decentralized finance (DeFi), and tokenization.
Lord Cruddas, Chief Executive Officer at CMC Markets, said: “This is a major strategic investment in the growing Web 3.0 technology space of which StrikeX Technologies gives us access to the very best technology and advancements. StrikeX is a brilliant, young dynamic company, with a very talented team that has its finger on the pulse of fast moving technologies.”
CMC Markets further stated the investment and partnership present CMC Markets with further opportunity for growth as the brokerage group will be able to leverage the latest blockchain-related products and services for its customers over the longer term.
CMC Markets plans to grow net operating income by 30% over three years
CMC Markets kept its guidance for the current year unchanged. The online trading and investment broker confirmed its plans to grow net operating income by 30% over three years based on the 2022 results and underlying conditions.
In the meantime, CMC Markets continues to diversify and expand its geographic footprint through its technology, leveraged institutional offering, and non-leveraged platforms.
The company developed upgrades across both its investing and trading platforms, specifically, its non-leveraged platform CMC Invest. In April. broker launched the CMC Invest Singapore after securing the regulatory stamp from the Monetary Authority of Singapore.
CMC Markets’ 16-year heritage in Singapore, where it has been offering CFDs since 2007, can serve as a strong foundation for the success of CMC Invest. With a holistic investment solution, CMC Invest can cater to the diverse needs of local customers, who are increasingly looking for more sophisticated investment products and services.
The Singapore-based iteration of CMC Invest offers a diverse product catalogue that covers stocks, ETFs, options, and futures. The company claims offering a transparent platform that does not impose hidden costs such as inactivity and settlement fees. CMC Invest will provide clients with zero commission and real-time pricing across a comprehensive range of listed products along with research tools that includes Trading View Charting, ESG rankings, Opto content and Thematic Investing.
The UK version of CMC Invest has also expanded its offering with the recent addition of ETFs, ISAs as well as responsible ESG screening functions. CMC noted that the platform will offer both B2C and B2B potential to the wider market.