GFO-X regulates the Crypto Derivatives Platform, the Financial Conduct Authority (FCA)’s first such trading venue for digital assets.
The new platform will run its first transaction between financial institutions Virtu Financial and IMC on Tuesday, cleared by DigitalAssetClear, GFO-X announced on Tuesday.
DigitalAssetClear is a service of Bitcoin Index futures and options contracts created by LCH, a subsidiary of London Stock Exchange Group (LSEG) and containing cash.
GFO-X is also supported by leading banks Abn Amro, Nomura and Standard Chartered, which provide liquidation of transactions on the platform.
The UK FCA lifted its ban on crypto derivatives equipment for in-facility investors in March 2024 from 2020. This was followed by the London Stock Exchange saying it would accept applications for Cryptocurrency Exchange Transaction Notes (ETN).
The GFO-X debut demonstrates the continued development of a UK-regulated crypto trading ecosystem. Crypto-derived theater has also gained global traction as Galaxy secured UK approval last month to expand its derivatives deals and Coinbase purchased Deribit on a $290 million deal earlier this month.
Read more: In a $2.9 billion deal, Coinbase agrees to buy DeRibit and expand in the US crypto options market
