Qu Capital, a Quant Investment Company, Acquired by Genesis Trading

Genesis Trading, a digital lender and currency trader has expanded its research and trading capabilities. The expansion has been made possible by its acquisition of Qu Capital, a New York-based quantitative investment company.

Michael Moro, the Genesis CEO recently held an interview with CoinDesk. In the interview, he noted that Qu Capital made the initial approach to Genesis Trading at the start of the year. The company was interested in using the lending and trading services provided by the latter.

After the approach was made, Genesis Trading made an investment decision that saw the company acquire Qu Capital. The acquisition was intended to make it possible for it to integrate its existing team as well as aid in its expansion in the trading and lending sector.

Acquisition Terms

Moro politely declined to divulge details pertaining to the acquisition of Qu Capital.

According to Moro, Qu Capital uses some technologies that can greatly benefit Genesis and assist it to create its internal team. For instance, it acquired a patented product referred to as a smart order routing system. This is a system that can be used to facilitate transactions between investors and crypto exchange platforms.

After the acquisition was completed, Genesis went on to hire 2/3 of the Qu Capital founders. This included Edward Yu, Lucan Schuermann, and a junior staff member. This was one of the six-member team that had been employed by the investment company.

Moro went on to add that Genesis Trading had been greatly impressed by the professionalism and expertise possessed by the Qu Capital team. He was, therefore, hopeful that the team would be able to aid the company to grow by providing essential tech enhancements. These are enhancements that will go a long way towards benefitting their lending and trading clients.

The acquisition deal was struck at a time when Genesis Trading had noted increased growth in its lending platform. By the second quarter, the company had lent out more than $747 million to its customers. This means that since its March 2018 launch, the company had increased its overall originations to a total of $2.3 billion.