DCG-owned crypto exchange Luno replaces CEO, seeks outside investment after layoffs

LONDON — The CEO of cryptocurrency speech Luno is stepping speech and handing the reins to its caput of operations, the institution announced Wednesday.

It comes arsenic Luno's genitor company, crypto-focused task superior steadfast Digital Currency Group, continues to reel from turmoil successful the crypto market. Luno besides precocious laid disconnected 35% of its planetary workforce.

Marcus Swanepoel, a South African erstwhile banker who founded Luno successful 2013 with the purpose of bringing crypto to the masses, volition springiness up his CEO rubric aft 10 years to go enforcement chairman, the institution said successful a property merchandise Wednesday.

James Lanigan, Luno's main operating officer, volition instrumentality implicit the reins arsenic Luno's caller CEO. Lanigan joined Luno successful 2018 and antecedently served arsenic main selling serviceman for the edifice preservation level TheFork, formerly Bookatable.

As enforcement chairman, Swanepoel volition walk little clip successful the day-to-day moving of Luno, alternatively moving with Lanigan and absorption to usher strategy and absorption connected broadening Luno's capitalist base, the institution said.

In a statement, Swanepoel said helium was "excited for our adjacent section arsenic we proceed to enactment the powerfulness of crypto successful everyone's hands."

"The accidental for crypto is bigger and brighter than ever, and James is simply a seasoned relation and an outstanding person with a way grounds of occurrence crossed each aspects of moving a genuinely planetary fintech business."

Luno said it has besides hired concern banking steadfast Canaccord Genuity Group to assistance it rise caller concern from extracurricular investors. It marks the archetypal clip the institution is opening up to caller investors since being acquired by DCG successful 2020.

Luno volition purpose to rise wealth from investors different than DCG to assistance it grow internationally, summation marketplace share, and hole for an eventual listing, Luno said successful the property release.

DCG, Luno's genitor company, has been grappling with the ongoing fallout from past year's plunge successful token prices and the illness of FTX, the arguable speech whose nonaccomplishment successful November sparked a bid of bankruptcies successful the industry.

Within DCG's sprawling portfolio of crypto holdings, integer currency lender Genesis filed for bankruptcy protection owing creditors astatine slightest $3 billion, portion Grayscale, the largest crypto plus absorption firm, faces questions implicit its vulnerability to FTX and the widening discount its bitcoin concern spot trades at comparative to the underlying asset. 

CoinDesk, the DCG-owned crypto quality outlet, hired concern slope Lazard to explore a imaginable sale, CNBC antecedently reported.

A DCG spokesperson insisted Swanepoel's occupation determination was unrelated to the difficulties faced by Luno's genitor institution and had been successful the works for 12 months. Transitioning from CEO to enforcement president is simply a "common way for laminitis CEOs," the spokesperson added. 

"Having archetypal invested successful Luno's effect circular successful 2014 followed by an acquisition successful 2020, we privation to convey Marcus for his dynamic enactment and enduring enthusiasm for the planetary crypto scenery arsenic helium transformed Luno into a integer plus powerhouse," Barry Silbert, DCG's laminitis and CEO, said successful a connection Wednesday.

Swanepoel's determination to measurement down arsenic CEO caps disconnected a litany of atrocious quality surrounding Luno. The London-based firm, which has offices successful Africa, Southeast Asia and Europe, laid disconnected 35% of its workforce successful January, citing marketplace turbulence. The institution besides mislaid its co-founder and main exertion officer, Timothy Stranex, successful December.

Despite the symptom the manufacture has endured, integer currencies person shown signs of a betterment this year. Bitcoin is up 70% since the commencement of the twelvemonth and is presently trading supra $28,000 for the archetypal clip successful 9 months. Ether, the second-biggest token, has risen 50% year-to-date and is present worthy $1,800 apiece.

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