Finance Feeds logo

Crypto.com acquires Nadex and Small Exchange

Karthik Subramanian

Crypto.com, one of the fastest-growing crypto and financial services platforms, has announced the acquisition of the North American Derivatives Exchange (Nadex) which is a retail-focussed exchange offering many financial and derivatives products on some of the most heavily traded markets as well as Small Exchange.

The Small Exchange is a smaller, simpler platform that offers derivatives of simpler products but both the exchanges are mainly focused on the US region.

Deal Done with an Eye on Derivatives

The acquisition has been made to provide the US customers of Crypto.com with various types of derivatives products which they would find useful and interesting as well. Nadex is part of the North American unit of the IG group that offers many interesting products like binary options, call spreads and touch-bracket contracts, and many other innovative products for those who are interested in trading complex forms of derivatives. It is based out of Chicago and is licensed and regulated by the CFTC.

“Our goal as a platform is to offer our customers a trusted, secure, and regulated platform with world-class tools to achieve financial independence,” said Kris Marszalek, co-founder and CEO of Crypto.com. “This proposed acquisition builds on that promise and will give our customers access to an entirely new set of financial tools to complement our current offering.”

The acquisition is expected to complete during the first half of 2022 which will then help Crypto.com in pushing through a variety of new derivatives focussed products in the crypto markets which will help to take the trading part of the crypto industry to the next level. Both the acquired companies will come under the Crypto.com brand and Travis McGhee and Donald Roberts would continue as the CEO of Nadex and Small Exchange respectively even after the acquisition is completed.

Large User Base

Crypto.com is reported to have over 10 million users and it has been able to build this userbase by infusing a sense of security in the minds of the traders and the investors by making sure that it gets regulated before launching the crypto business in any specific region that it plans to enter into. This creates a win-win situation for all as it gives the assurance to the users that their funds are safe while the company can also focus on their marketing and business without any fear of being shut down by the regulators.

Subscribe

Read this next

Digital Assets

FINMA-regulated digital asset provider Taurus expands into Germany

This expansion follows recent moves by BaFin to accelerate the licensing of crypto custody services, aiming to boost market confidence. Following this, several new licenses were issued, notably to Commerzbank, making it the first full-service financial institution in Germany to receive a crypto custody license.

Inside View

Stocknet’s Nick Hall defends gamification as trading platform market set to hit $15.34b by 2030

“The growing popularity of gamified trading has the potential to tackle this financial literacy gap. Rather than simply giving users unfettered access to markets and letting them figure things out for themselves, platforms can offer virtual skill games and challenges to help educate traders and prime them for success.”

Inside View

Infographic: Interest rate and FX derivatives are driving rise of OTC derivatives market

These trends suggest a growing and evolving OTC derivatives market, with an increased focus on risk management and regulatory compliance. The rise in clearing rates, along with the increased initial margin requirements, reflects a more cautious approach to risk in the financial services industry.

Market News

Bank of Canada’s Final 2023 Policy Update on the Canadian Dollar and Future Monetary Landscape

The Bank of Canada’s final policy update for 2023, as reported by Bloomberg, had a relatively subdued impact on the performance of the Canadian dollar, especially when compared to the discernible market reactions following prior BoC policy decisions throughout the year.

Inside View

DTCC’s Systemic Risk Barometer Survey found 2024 US Presidential Election as a top risk

U.S. political uncertainty, particularly regarding the 2024 Presidential Election, has emerged as a key risk, with 51% of respondents highlighting it as a major concern. This reflects the potential impact of election outcomes on market conditions and the industry.

Executive Moves

Options Technology promotes Laura McCann to CFO

“Laura’s promotion to CFO is the next stage in our long-term strategy of building a world-class finance team servicing the global business from our Belfast office. Back in 2016, Jon took on the challenge of laying the groundwork for that vision. Laura has been an integral part of the strategy from day one.”

Digital Assets

Thailand’s crypto economy under the spotlight: a report by HashKey Capital

“I’m excited by the rapid expansion of Thailand’s Web3 sector. With over 3 million overall crypto users and 600% growth in the market in recent years, the dynamism in our DeFi and NFT sectors is clearly evident. Thailand is increasingly becoming a hotspot for digital nomads, drawn by our crypto-friendly policies, affordable living costs, vibrant food and beverage culture and diverse cultural landscape.”

Retail FX

Webull Australia offers 5.4% yield on uninvested cash

“US dollar money market funds are heavily regulated, meaning client funds are managed in a safe, reliable and trusted environment, which is of critical importance to us, and continues to remain top-of-mind for our clients.”

Digital Assets

Bybit welcomes Ethena’s USDe, a decentralized stablecoin utilizing delta-hedging staked Ether

“Our collaboration with Ethena Labs represents our commitment to solving some of the biggest challenges in crypto today, not least, the creation of a decentralized stablecoin. The integration of USDe on Bybit expands our stablecoin offerings, providing our users with an array of uncorrelated solutions accessible from our Unified Trading Account.”

Bybit
<
✖