Investors looking to bet on the future of digital currency could soon have an equity vehicle for doing so, courtesy of a penny stock reverse merger that should see bitcoin derivative trading platform Tera Exchange become a listed company.

Tera Group Inc. announced earlier Friday that it has entered into a merger agreement with MGT Capital Investments, a New York Stock Exchange-listed company that runs online gaming sites. Under the terms of the deal, Tera will take a controlling stake in MGT, which will issue common stock...