Capital markets News

London Stock Exchange enters digital asset space with TORA acquisition

lseg london stock exchange group

Today the London Stock Exchange Group (LSEG) said it’s paying $325 million to acquire TORA, the trading technology solution provider that covers most asset classes, including digital assets. In the announcement, LSEG said TORA enhances its position in the digital assets space as institutions increasingly seek exposure to cryptocurrencies and other digital assets.

TORA provides order and execution management systems (OEMS) and portfolio management systems (PMS) for fund managers across equities, fixed income, forex, derivatives and digital assets.

“This acquisition is a great example of LSEG’s strategy to provide customers with a global, multi-asset class financial infrastructure that operates across the capital markets and investment lifecycle as an open ecosystem,” said Andrea Remyn Stone, Group Head, Data & Analytics LSEG.

Caspian is TORA’s digital assets solution that links to almost 30 cryptocurrency exchanges and liquidity providers, including Binance, Coinbase and FTX, as well as derivatives providers such as CME Group and Deribit.

Meanwhile, the LSEG previously invested in Nivaura, a workflow solution for capital markets that works with conventional and blockchain systems.

Various stock exchanges around the world have taken different approaches to digital assets. Nasdaq’s Marketplace Services Platform has been providing technology for digital asset marketplaces for some time. 

SIX has perhaps been the most courageous in launching its SIX Digital Exchange (SDX) for native digital assets. NYSE owner ICE founded BAKKT, which initially provided crypto derivatives but has expanded to offer a consumer-facing tokenized rewards and crypto application. 

In Singapore, SGX is involved in initiatives that tokenize real-world assets such as bonds and carbon credits. Elsewhere, several exchanges are adopting blockchain technology in post-trade processes, including ASX, HKEX and the Deutsche Börse. The latter provides part of the infrastructure for the collateral management platform HQLAX

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