Cryptocurrency exchange Luno has been acquired by New York-based digital asset investment firm Digital Currency Group, according to a company release seen by AtoZ Markets.
September 9, 2020 | AtoZ Markets – Digital Currency Group (DCG), a global enterprise that builds, buys, and invests in blockchain companies has acquired Luno, a London-based cryptocurrency exchange with extensive operations in Nigeria, South Africa, and other emerging markets.
Digital Currency Group acquired Luno to extend its global reach
The acquisition which terms were not disclosed will enable Luno to extend its global footprints, both in geographies where Luno currently operates and in new markets. With regional hubs in Singapore and Cape Town, South Africa, Luno has grown significantly in recent years, with nearly 400 employees and more than five million global customers spanning over 40 countries.
In Africa, the company saw more than 550,000 new users on its platform in Q2 2020. Luno also contributes the largest share of cryptocurrency trading volume on the continent across non-P2P exchanges. The platform has marked significant territory as an exchange in several countries that have the highest percentage of cryptocurrency ownership, including South Africa, Nigeria, Indonesia, and Malaysia.
“We are proud to have supported Luno as an early investor, and we recognize a shared commitment to building mission-driven companies that can help transform traditional financial services and improve economic freedom for people all over the world,” DCG Founder and CEO Barry Silbert said. “Luno is a high growth, global business and there is a massive opportunity to expand organically and through acquisitions.”
As an investment firm, DCG has invested in over 160 blockchain companies around the world. In addition to its venture portfolio, DCG is the parent company of Grayscale Investments, crypto broker Genesis Global Trading and industry publication CoinDesk.
Will Luno acquisition affect the leadership team?
Prior to the acquisition, DCG had first invested in Luno in 2014 in its seed round in August 2014. Following the acquisition, the Luno leadership team will remain entirely intact and Marcus Swanepoel, the co-founder of Luno will lead acquisition efforts in his role as CEO.
Established in 2013, Luno was initially based in Singapore before moving headquarters to London a couple of years later. The firm has a team of close to 400 staff and is a leading exchange on the African continent, and South East Asia.
“We have been extremely impressed with Marcus and the Luno team since we made our initial investment. Marcus understands our culture and appreciates how well Luno fits into the DCG family. He is a focused, high integrity leader, and exactly the kind of person we want running one of our companies at this critical moment when the crypto industry is at an inflection point.”
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