Shares in Blockchain company Valereum soared 58% today after the firm successfully acquired the Gibraltar Stock Exchange in a bid to make it the first ever exchange to allow people to buy securities using Bitcoin, Ethereum and Dogecoin.
Valereum first acquired a majority stake in the GSX in October last year, and increased its stake to 90% in February 2022.
The firm said the move “would give cryptocurrency holders the ability to have a direct, verifiable holding in fiat securities.”
“This could have far reaching implications for the world, as it would introduce cryptocurrencies into the mainstream.”
In August Valereum said it was selling off parts of its bitcoin mining business to cover the costs of acquisition. In addition to its cryto strategy, the firm said it hoped the exchange would give greater access to capital to smaller businesses in Africa and the Middle East. The company also has plans to link securities with NFTs.
The company said: “The future focus of the GSX will be to expand the access to European capital for early stage and small-cap companies in the Middle East, India and Africa where there is a huge opportunity to empower entrepreneurs across the region.”
The transaction fee to acquire the exchange was not disclosed.
Gibraltar is the third highest jurisdiction of choice for crypto hedge fund managers, according to a report by PwC. Gibraltar is also listed as having the 4th highest number of domiciled crypto hedge funds, putting the jurisdiction ahead of Singapore, Malta, The Netherlands, Hong Kong and Switzerland.
