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Intercontinental Exchange, the owner of the New York Stock Exchange, has acquired a stake in crypto exchange OKX at a valuation of $25bn, as mainstream trading venues accelerate their push into digital assets.
The size of ICE's stake was not disclosed. Under the terms of the deal, ICE will launch US-regulated futures contracts tied to OKX's crypto prices, and will take a board seat at the Seychelles-based exchange. In return, OKX will give its customers access to ICE's US futures and tokenised equities markets.
Jeffrey Sprecher, Chair and Chief Executive, Intercontinental Exchange said:
"[The deal will help] accelerate our plans to offer on-chain infrastructure and tokenised assets to US investors."
OKX is one of the world's largest crypto exchanges by trading volume, according to data provider CoinMarketCap. Binance holds by far the largest share of the spot crypto market at roughly 30 per cent. US-listed Coinbase, another leading venue, carries a market capitalisation of more than $50bn.
The deal comes despite OKX's regulatory history in the United States. The exchange last year pleaded guilty to operating without a licence in the US and agreed to penalties of more than $500mn.
The investment is part of a broader scramble among traditional financial institutions to gain a foothold in digital assets and blockchain-based tokenised markets. ICE's move follows its announcement in October that it would invest up to $2bn in Polymarket, the offshore crypto-based prediction market. Donald Trump Jr is an adviser to Polymarket.
Speaking last month at a conference at Mar-a-Lago hosted by the Trump family's crypto company World Liberty Financial, NYSE president Lynn Martin described a "lightbulb moment" when she saw S&P 500 futures jump on Polymarket odds suggesting Donald Trump would win the 2024 election.
Rival exchange group Nasdaq invested $50mn in Gemini, the crypto exchange founded by the Winklevoss twins, in September, as America's largest exchange operators both compete for position in the crypto market. Nasdaq also sought regulatory approval this week for options contracts allowing binary "yes or no" bets on stock indices, in a move reminiscent of prediction markets.
Crypto exchange Kraken and retail brokerage Robinhood already offer tokenised equity trading to users in Europe, positioning it as an improvement on traditional stock trading by enabling buying and selling around the clock and at weekends.
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