Q4 2024 witnessed a remarkable resurgence in the cryptocurrency market, highlighted by bitcoin surpassing the historic US$100,000 milestone on December 05.
This surge was fueled by significant events, notably Donald Trump’s election victory, which spurred expectations of a pro-crypto regulatory shift. South Korea also played a key role in the global trading surge, driven by an altcoin frenzy.
According to CCData, a data and index solutions provider specializing in the digital asset market, aggregate trading volumes across major South Korean exchanges, including Upbeat and Bithumb Korea, reached a record of US$254 billion, representing a a staggering 294% month-on-month (MoM) increase. South Korea now accounts for 7.38% of the total spot trading volumes on centralized exchanges.
November also marked a watershed moment for global crypto trading, with combined spot and derivatives markets surpassing US$10 trillion in volume for the first time.
Spot trading volume rose 128% MoM to US$3.43 billion, the second-highest monthly total since the previous peak in May 2021. Derivatives trading volumes, meanwhile, surged 89.4% to US$6.99 trillion, surpassing the previous all-time high set in March 2024.
The crypto sector’s rebound is extending beyond trading, with acquisition activity also gaining momentum. In October, Stripe’s US$1.1 billion acquisition of stablecoin payment platform Bridge, set a new record as the largest crypto acquisition by exit valuation.
To mark this milestone, market intelligence platform CB Insights released last month a list of the 10 largest crypto acquisitions to date, ranked by exit valuation. Today, we take a look at these transactions, exploring their objectives and underlying ambitious.
Bridge – US$1.1 billion (October 2024)
In its largest acquisition to date, fintech giant Stripe acquired in October 2024 stablecoin platform Bridge for a staggering US$1.1 billion. The deal marked the biggest M&A deal in the crypto industry so far.
Founded by Square and Coinbase alumni Zach Abrams and Sean Yu, Bridge provides an application programming interface (API) enabling companies to accept stablecoins, serving customers including SpaceX and Coinbase.
The strategic deal coincides with Stripe’s latest expansion into cryptocurrency services. In October, it brought back crypto payment functionality for businesses in the US.
Bithumb – US$706 million (October 2018)
BK Global Consortium acquired in October 2018 a majority stake in South Korea’s second-largest crypto exchange, Bithumb, for KRW 400 billion (US$333 million). The deal valued Bithumb at US$706 million, making it the second largest crypto acquisition in history.
Bithumb, founded in 2014, boasted eight million users and over US$1 trillion in cumulative transaction volume by October 2019.
BK Global Consortium is a Singapore-based consortium led by plastic surgeon Dr. Kim Byung-gun, chairman of BK Group. The consortium planned to create Blockchain Exchange Alliance (BXA), a publicly traded entity that would “up-list” on either the New York Stock Exchange or Nasdaq.
Poloniex – US$400 million (February 2018)
Circle acquired the Poloniex crypto exchange in February 2018 for a reported US$400 million. At the time, Circle founders Jeremy Allaire and Sean Neville said that they imagined building Poloniex into a marketplace for “tokens which represent everything of value,” including physical goods, real estate and even creative productions.
However, in October 2019, Poloniex spun off from Circle to become Polo Digital Assets, backed by an unnamed Asian investment firm.
Digital Assets – US$320 million (March 2022)
FTX took over Swiss-based Digital Assets in March 2022 to launch FTX Europe, offering crypto trading to European clients. The deal was valued at nearly US$400 million, according to Reuters.
Before the acquisition, Digital Assets’ main offering was a white-label service for exchanges to offer tokenized stocks.
FTX was one of the world’s largest and most valuable crypto exchanges before collapsing in late 2022 after massive fraud perpetrated by founder Sam Bankman-Fried and his partner Caroline Ellison forced the company to file for Chapter 11 bankruptcy.
Bottlepay – US$300 million (November 2021)
NYDIG, a leading New York-based bitcoin company, acquired in November 2021 Bottlepay, the maker of a global, real-time bitcoin payments application. Financial terms were not disclosed but people familiar with the matter told The Block that NYDIG paid an estimated US$300 million in shares for Bottlepay.
Launched across European markets in 2019, Bottlepay was an app built on the Lightning Network to facilitate social, streaming, and micropayments. It offered real-time funds transfer in bitcoin and conventional currencies as well as integration with popular social media platforms.
The acquisition enhanced NYDIG’s bitcoin platform by integrating Bottlepay’s Lightning Network infrastructure, enabling financial institutions to provide crypto payments to retail customers.
Metaco – US$250 million (May 2023)
Ripple bought Switzerland-based crypto custody firm Metaco in May 2023 for US$250 million in cash and Ripple equity, marking the company’s first major acquisition.
Founded in 2014, Metaco provided technology for financial institutions to store and manage digital assets. Its clients included Citi, BNP Paribas, and Societe Generale’s digital asset arm.
Ripple is the company behind the Ripple payment protocol that uses XRP as its native cryptocurrency. The deal bolstered Ripple’s partnerships with traditional finance.
Simplex – US$250 million (May 2021)
Nuvei, a payment technology firm from Canada, acquired in May 2021 Simplex, a payment solution provider to the crypto industry, for approximately US$250 million in cash.
Founded in 2014, Simplex provides global fiat-to-crypto infrastructure, enabling seamless crypto purchases and transactions. An EU-licensed financial institution, the company offers simple, seamless, and secure channels to convert over 100+ fiat currencies to 160+ cryptocurrencies.
Nuvei is a payment processor headquartered in Montreal, Canada, that specializes in pay-in and payout options for businesses.
Bitstamp – US$200 million (June 2024)
Trading platform Robinhood Markets announced in June 2024 its acquisition of crypto exchange Bitstamp for about US$200 million in cash, its biggest-ever deal to date.
Bitstamp was founded in 2011 and has offices in Luxembourg, the UK, Slovenia, Singapore, and the US. The company holds over 50 active licenses and registrations globally and brings in customers across the EU, UK, US and Asia to Robinhood.
This acquisition will allow Robinhood to expand its global crypto operations and enter institutional services, including institutional lending and staking, the company said.
Curv – US$200 million (March 2021)
Digital payment giant PayPal acquired in March 2021 Curv, a provider of cloud-based digital asset security infrastructure. The deal, worth about US$200 million, was part of PayPal’s broader strategy to accelerate its initiatives in cryptocurrencies and digital assets.
Catering to exchanges, brokers, funds, and financial institutions, Curv’s services enabled secure handling of large-scale cryptocurrency holdings.
The Curv team integrated into PayPal’s cryptocurrency group, supporting its efforts to expand crypto offerings globally, including enabling cryptocurrency transactions on its platform and extending these capabilities to Venmo.
Apex Crypto – US$200 million (November 2022)
Bakkt, an institutional provider of crypto services, acquired in November 2022 Apex Crypto for a purchase price of about US$200 million.
Launched in 2019, Apex Crypto provided a turnkey platform for integrated crypto trading, developed to meet the needs of more than 30 fintech firms and their customers across a rapidly expanding sector. Apex Crypto supported clients with a robust solution for execution, clearing, custody, cost basis and tax services facilitating the delivery of frictionless crypto investing in more than 30 tokens.
The acquisition of Apex Crypto was aimed at bolstering Bakkt’s cryptocurrency product offering and expand its footprint into additional client verticals including fintech companies, trading app platforms, and neobanks.
Featured image credit: edited from freepik
