NEWS
GCEX, a leading regulated digital brokerage specializing in FX and digital assets, has released its accounts for the year ending on December 31, 2023. The company’s UK entity reported a turnover of £2.3 million for the fiscal year, representing a decrease from £4.46 million in the previous year.
This decline in volume is attributed to the challenges posed by the crypto winter following an exceptional growth period in 2022. Despite the decrease in turnover, GCEX has shown consistent monthly revenue growth since the beginning of 2023, a trend that has persisted into the current year.
The UK entity reported a loss before tax of £387,429, yet remained steadfast in pursuing its growth objectives. The company continued to focus on developing technology solutions and distributed £1.80 million during the year to its parent company, GCEX Holding Limited, with the aim of supporting the international expansion of the GCEX Group.
Lars Holst, Founder and CEO of GCEX, emphasized the company’s resilience and adaptability in response to revenue challenges, highlighting efforts to manage costs effectively and diversify revenue streams, such as introducing staking services for institutional and professional clients.
Throughout the fiscal year, GCEX Group expanded its product offerings, enhanced its technology, and bolstered partnerships with Tier 1 Liquidity Providers and digital asset custody solutions. The Group secured two additional regulatory licenses: an investment firm license in Denmark regulated by the Danish Financial Supervisory Authority and a Virtual Asset Service Provider (VASP) license in Dubai, UAE regulated by VARA.
Business Operations
GCEX Group facilitates access to deep liquidity in FX and CFDs on digital assets for institutional and professional clients. Additionally, the company offers digital assets spot trading and conversion services, along with a comprehensive range of Forex brokerage and crypto-native technology solutions through XplorDigital.
Founder Lars Holst reiterated the impact of the crypto winter on the industry and GCEX, commenting:
“The crypto winter had a huge impact across the industry, and GCEX was no exception. However, in response to the decline in revenue, we have been resilient and adaptive, navigating our costs effectively and diversifying revenue streams such as introducing staking services for institutional and professional clients.
We don’t run risk and don’t do lending or borrowing and we continue to have significant excess Tier 1 capital in our UK entity. Following a successful Q1 2024, we are now back to profitability and continue to execute on our long-term plans, investing and expanding in our global business.”
Read more: FX Newsroom
