Crypto derivatives exchange FTX has acquired Blockfolio, a popular portfolio tracking app, for $150 million in one of the largest acquisition deals this year.
The exchange company shared the news on twitter, and CEO Sam Bankman-Fried expressed his thoughts over the deal and the company’s future plans.
Having launched in the spring of 2019, FTX is known for introducing new institutional trading products such as derivatives, options, and leveraged tokens.
FTX has seen steady growth since its launch, and as part of its long-term vision, has acquired Blockfolio with the goal to help the derivatives exchange expand its reach into the retail market.
We are excited to share our story in the thread below
We are excited to share the news that @blockfolio is joining the FTX family
and we are excited for what the future holds for FTX https://t.co/WRpWiblWeH
— FTX – Built By Traders, For Traders (@FTX_Official) August 25, 2020
The acquisition concluded as part of early discussions between the two companies around ways they could collaborate on new products. At the time, Blockfolio was exploring how it could capture the value accrued in crypto trading.
Details of the FTX Deal
According to the CEO of FTX, the transaction was in the form of a mix of equity, FTX’s native token, and cash. He further added that the deal was not the type in which the acquirer would pick apart the acquired company for scraps and offer a cash-out for the founders.
He added that FTX is committed to making Blockfolio “massively bigger.” Blockfolio was launched in 2014 as a pure portfolio tracking app, and it has grown into the industry’s de facto resource for digital asset price updates and project updates on-the-go.
The app can be used free of charge. At the moment, the portfolio tracking app has gained 6 million users and now supports over 10,000 crypto assets and more than 500 exchanges.
FTX recently announced that it would charge no maker fees for the rest of 2020 and its newly launched Uniswap index markets. With the launch of its US regulated exchange, FTX.us, Sina Nader has joined the firm as the new Chief Operating Officer.
Nader previously worked as the head of crypto at securities company Robinhood. The company has some work to do to restore its reputation after last year’s $150 million nuisance suit.
Source: Be In Crypto