Mogo Inc. a digital payments and financial technology company, today announced a strategic investment in NFT Trader. A Canadian company that operates a secure peer-to-peer OTC trading protocol for non-fungible tokens or NFTs.
Non-fungible tokens, are one-of-a-kind digital items that users may buy and trade online. They employ blockchain technology to retain a digital record of ownership, similar to cryptocurrencies. NFT Trader is a well-known NFT trading platform that has partnered with a number of well-known enterprises. Including the Bored Ape Yacht Club, Cool Cats, Gutter Cat Gang, and CyberKongz.
NFT Trader is based on a decentralized Web3 ecosystem for safely trading digital assets, with extensive support for interoperable token exchanging.
Mogo initial investment is through a convertible note which will represent a 25% interest in NFT Trader
Mogo’s initial investment is in the form of a convertible note that. If converted, will give Mogo a 25% stake in NFT Trader. Mogo also has the option to buy a 25% stake in NFT Trader from the founders through a secondary purchase of common shares within six months after the initial investment.
NFT Trader grants the company Mogo the right to nominate one director to its board of directors. As well as a pro-rata right in any future securities offerings by NFT Trader. As well as first refusal over any securities transfers by NFT Trader’s founders.
Mogo hopes to collaborate with NFT Trader in negotiating the Canadian regulatory landscape. Moreover developing a strategic collaboration to deliver NFT Trader to Mogo’s members in Canada in the future in addition to supporting the company’s continuous growth.
“The world of finance is fast evolving. Nowhere is this more evident than with the rise of Web3, the Metaverse, and NFTs,” stated Mogo CEO David Feller. “Trading volume for NFTs was anticipated to be less than $100 million in 2020. However it increased by 230 times last year to more than $23 billion USD.”
This is also clearly just the beginning
We are witnessing a whole new era of games where players earn native crypto currency and trade their character for NFTs. Through gaming, millions of people will become interested in crypto. NFTs will become increasingly important as a complement to bitcoin.
We believe that a next-generation financial platform will not only bridge the gap between traditional finance and DeFi, but will also become one of the most significant growth prospects ever.”
Mogo’s increasing portfolio of digital assets and investments, which totaled about $150 million1 at the end of Q3 2021 (including Mogo’s book value of its Coinsquare investments), now includes NFT Trader.