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Coinsquare acquires crypto trading platform CoinSmart

Coinsquare acquires crypto trading platform CoinSmart

The acquisition will see Coinsquare have over $350 million assets under custody. Coinsquare, currently…

The post Coinsquare acquires crypto trading platform CoinSmart appeared first on CoinJournal.

Coinsquare acquires crypto trading platform CoinSmart

The acquisition will see Coinsquare have over $350 million assets under custody.

Coinsquare, currently Canada’s oldest operating cryptocurrency exchange and one of the largest in the country, is making further expansion moves with a fresh acquisition.

This is after the crypto exchange moved to acquire Canadian-headquartered digital assets trading platform CoinSmart in a deal agreed on 22 September 2022.

According to the two firms, Coinsquare has struck a definitive agreement with the registered securities dealer to acquire all the issued and outstanding shares of Simply Digital Technologies, a wholly-owned subsidiary of CoinSmart.

This acquisition represents a monumental and exciting milestone for both companies and brings together two industry leading management teams,” said Martin Piszel, CEO of Coinsquare. 

CoinSmart founders to join Coinsquare

Under the terms of acquisition, CoinSmart will receive $3 million in cash and 5,222,222 Coinsquare shares valued at about $5.02 per share for a total of roughly $26.2 million. In addition, CoinSmart could receive an extra of up to $20 million pegged on the company’s SmartPay business revenue outlay over three years.

Once finalised, the cash and stock deal will see CoinSmart hold about 12% stake in Coinsquare, and its co-founders including Justin Hartzman, Jeremy Koven, and Michael Koralamongst will join Coinsquare. 

Hartzman, CEO of CoinSmart, will join Coinsquare’s executive team.

Coinsquare’s acquisition of the digital asset platform adds to its position as one of the largest crypto exchanges in Canada. The company launched in 2014 and this expansion sees it acquire the only qualified crypto custody provider in the country.

With a diversified product suite, exceptional crypto talent, and one of the largest user bases in Canada, the combined company will be well-positioned to pursue its aggressive expansion plans,” said Hartzman.

As well as adding to its growing customer base and crypto offerings, the deal also gives the combined venture also sees it hold $350 million in assets under custody.

The post Coinsquare acquires crypto trading platform CoinSmart appeared first on CoinJournal.

Source: CoinJournal: Latest Bitcoin, Ethereum & Crypto News

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Nasdaq focused on crypto custody services but no plans for crypto platform yet

In September, the world’s second-largest stock exchange Nasdaq announced that it will offer custody…

The post Nasdaq focused on crypto custody services but no plans for crypto platform yet appeared first on CoinJournal.

In September, the world’s second-largest stock exchange Nasdaq announced that it will offer custody services for Bitcoin (BTC) and Ether (ETH) to institutional investors. Nasdaq hired Ira Auerbach, a former Gemini employee, to head the new Nasdaq Digital Assets unit.

The main reason the new Nasdaq Digital Assets Unit was targeted toward institutional investors is the remarkable growth in crypto adoption among this class of investors in the past few years. While investing in cryptocurrencies is one thing, safeguarding the accumulated crypto holdings is another and company-owned crypto funds require special handling thus the need for custodial services.

While many crypto exchanges already offer crypto custody services for institutional investors, many believe the institutional investors’ space is largely neglected and Nasdaq is not late for the party.

No plans for a Nasdaq crypto platform yet

Despite Nasdaq jumping into the crypto space with the crypto custody services, the company’s executive vice president and head of North American markets, Tal Cohen, said that the company shall wait for further clarity in crypto regulations and global crypto adoption before it decides on whether to launch a crypto platform.

Speaking to Bloomberg TV, Cohen said:

“Those are discussions we are happy to have. But right now, on the retail side, the market is fairly saturated. There’s a number of exchanges servicing the retail customer base.”

Nasdaq instead plans to stick to its crypto custody services citing massive demand and opportunity from customers.

Cohen said:

“We think if you can safe-keep peoples’ assets, they’ll trust you to do everything else afterwards.”

Cohen also said that besides the custody services, the stock exchange was working on facilitating the transfer of digital assets.

The post Nasdaq focused on crypto custody services but no plans for crypto platform yet appeared first on CoinJournal.

Source: CoinJournal: Latest Bitcoin, Ethereum & Crypto News

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