The deal comes as Bitcoin ETF applications in the U.S. are seemingly inching closer toward regulatory approval.
Stablecoin issuer Circle weighing up 2024 public launch: Report
Circle initially agreed to go public as part of a $4.5 billion merger in July 2021 but that deal fizzled out.
Tokenization of RWAs Gets Boost with DTCC Deal to Buy Blockchain Startup Securrency
Securrency provides institutions with blockchain-based regulatory technology on top of existing legacy systems to enable digital asset adoption in a compliant manner.
Kraken set to acquire Dutch exchange BCM, eyes European expansion
Kraken is set to acquire the Netherlands-based cryptocurrency platform as part of its European expansion plans.
Riot Platforms to add 33,000 Bitcoin miners ahead of 2024 halving
The new rigs will add 7.6 EH/s to the firm’s self-mining capacity, but won’t be installed until the first quarter of 2024.
Binance Japan Will Start Operations After June
The world’s largest crypto exchange acquired Sakura Exchange BitCoin last November.
FTX’s LedgerX Derivatives Exchange Sold to Miami International Holdings in Bankruptcy Auction
FTX.US last purchased Ledger Holdings, the parent company of LedgerX, for $298 million in October 2021, according to audited financial documents viewed by CoinDesk.
SEC files objection to Binance.US’s plans to acquire Voyager Digital
The SEC wants to see more information included in the $1.022 billion deal between Binance’s U.S. arm and Voyager Digital before it agrees to the acquisition.
CrossTower to acquire institutional prime brokerage BEQUANT
It comes after months of window shopping by CrossTower as crypto companies are still looking to expand despite the crypto market downturn.
CrossTower eyeing further crypto acquisitions outside of Voyager bid
CrossTower’s president said they would place extra emphasis on highly transparent and compliance-focused companies in light of the FTX collapse.
Ripple to consider deals for FTX assets: Brad Garlinghouse
Brad Garlinghouse, CEO of Ripple, said the company would be interested in companies owned by FTX that serve business customers.
‘Twitter will do lots of dumb things’ in the coming months: Elon Musk
Twitter’s new owner says they’ll be throwing a heap of new ideas at the platform over the coming months.
FTX’s Binance rescue deal falls apart in less than 48 hours
Binance cited allegations of mishandling of consumer funds and investigation from regulators as reasons for exiting the agreement.
Binance Proof-of-Reserve pledge gains support following FTX crisis
The call for a more detailed disclosure of liquidity through the use of “Proof-of-Reserves” has been backed by many high-profile industry figures.
Friday after-work drinks with Twitter’s new owner Elon Musk, who’s in?
After Elon Musk signaled his intention to continue the deal to buy the social media platform earlier in October, reports are emerging that the acquisition is almost over.
Further BTC mining consolidation as Crusoe acquires peer mining firm
Crusoe Energy Systems has just acquired the operating assets of Great American Mining, a sign that further consolidation could be ahead.
FTX Wins Auction For Voyager Digital Assets, Valued Over $1B
Voyager Digital has officially completed it’s auction for acquisition, with powerhouse exchange FTX securing the winning bid, according to emerging reports (and confirmed via press release) in recent hours. Reports in recent weeks had stated that the flagship exchange was in the bidding mix with competitors Binance and CrossTower, with all three supposedly in the final running for Voyager’s assets – and each of which were supposedly offering unique packages in the bidding process.
With FTX coming out on top, let’s take a look at what sort of implications can lie from this acquisition moving forward.
FTX & Acquisitions
FTX has long sought a ‘growth by acquisition’ model with mixed results. The firm is currently in the process of working through an acquisition of CeFi crypto lender BlockFi, which sought to avoid the same fate as competitor Celsius. FTX’s U.S. division is looking to acquire BlockFi, and can now add Voyager Digital to it’s list of new assets to build the FTX rolodex. While the aforementioned Binance and lesser-known exchange CrossTower were reportedly in the mix, it was FTX who came out with the most appetizing bid – despite rumors that Binance’s offer included a large cash sum payment.
Rumors had swirled in recent days around the deal’s closing, with commentators suggesting that FTX would shell out $50M in cash in it’s bid, and that the company desired that existing Voyager customers were moved over the FTX platform – where they could claim a pro rata share of the coins the debtors possess from the existing Voyager accounts. It remains to be seen if and how that will play out. According to the press release, FTX’s winning bid is valued at roughly $1.4B.
Voyager Digital (VOYG) is traded on OTC market, TSX, and has seen value dilution commensurate with the platform’s downfall. | Source: TSX: VOYG on TradingView.com
Where Things Go From Here
The closing of the deal will allow FTX to finalize acquisition of Voyager’s assets, but the timeline around these processes is still murky. Voyager can now still move forward with it’s Chapter 11 filing and look to reconcile debtors and former customers to some degree – but certainly not wholly. Nonetheless, FTX will see all of Voyager’s assets and customer accounts moved under their umbrella.
The move is likely seen as a win for FTX, who submitted a bid attempt for Voyager Digital back in July with no traction.
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The writer of this content is not associated or affiliated with any of the parties mentioned in this article. This is not financial advice.
This op-ed represents the views of the author, and may not necessarily reflect the views of Bitcoinist. Bitcoinist is an advocate of creative and financial freedom alike.
Twitter lawyers up to force through Musk deal. Will it work?
It’s unclear whether the potential lawsuit will eventually see Musk purchasing the platform at the previously agreed price, at a new price, or not at all.
SBF denies FTX is eyeing distressed crypto mining companies
Sam Bankman-Fried said that crypto miners did not fit into the company’s core strategy and there is no synergy from an acquisition standpoint.
Reports: FTX Targeting BlockFi Purchase At $25M
BlockFi, Celsius, Nexo, and more: tough times can lead to difficult measures, and this year’s bear market is showing no exception to some of these players. Look no further than the current state of affairs for centralized finance (CeFi) platforms, who have been facing substantial headwinds with no end in sight.
Now, after days of rumors and reported exploratory deals, reports have emerged that powerhouse crypto exchange FTX is putting together the final ties around an acquisition deal of BlockFi at just a $25M valuation. The news comes after reports emerged that FTX passed on an acquisition deal for Celsius after seeing the CeFi firm’s balance sheet.
BlockFi On The Block
Should the purchase come to fruition at the reported valuation, it’ll be a major hit for BlockFi equity holders, following a nearly $5B valuation last year in the midst of bull market movement. However, that $25M number could move drastically between today’s reports and closing time – and a successful acquisition will of course take months to close. BlockFi CEO Zac Prince described the number as “market rumors” and outright denied the number, stating in a tweet that “we aren’t being sold for $25M.”
FTX is on the shortlist of exchanges that have sought out opportunity in the midst of crypto market downturn, exploring buyouts or equity share purchases for both Celsius and BlockFi in recent weeks, according to a variety of reports. However, based on the hard facts available to the public, the viability and likelihood of a buyout for BlockFi is still difficult to measure.
Celsius (CEL) has faced an uphill battle as the platform has still paused withdrawals for customers. | Source: CEL-USD on TradingView.com
Related Reading | Ethereum Loses Steam As Exchange Supply Spikes
State Of CeFi: Pulse Check
How did we get here? Bear market downturn over the past month or two has caused major pain for CeFi platforms, in a flurry of madness that started with Celsius freezing withdrawals earlier this month amid worries of a bank run and lack of immediate liquidity within the platform’s holdings. BlockFi has undoubtedly faced the heat, too, as FTX provided the firm with a $250M emergency line of credit just last week. While reports across the market suggest that BlockFi has several options on the table, it seems that few will lead down a path that spares equity shareholders of value at present time. Nexo has largely stayed quiet during the chaos, but there’s various internet sleuths who have targeted Nexo with content campaigns around the company’s practices as well.
Regardless of how you feel about CeFi, the decline of infrastructure in this bear market shouldn’t be celebrated – we’ll see how it all shakes out when the tides recover.
Related Reading | USDC Exchange Reserves Rise As Investors Escape From Bitcoin
Featured image from Pixabay, Charts from TradingView.com
The writer of this content is not associated or affiliated with any of the parties mentioned in this article. This is not financial advice.