Robinhood revealed Tuesday that it’s buying Canadian crypto chief WonderFi for CA$250 million (round $178.56 million) in an all-cash deal because it pushes into Canada’s rising digital asset market.
WonderFi operates two regulated crypto platforms, Bitbuy and Coinsquare, with over CA$2.1 billion in belongings underneath custody. The transaction gives WonderFi shareholders CA$0.36 per share, representing a 41% premium over the corporate’s current closing value. (WonderFi went public in Canada via a reverse takeover in 2021.)
The tie-up follows Robinhood’s $200 million buy of European trade Bitstamp final yr and reinforces its world growth technique.
WonderFi’s group, together with CEO Dean Skurka, will be a part of Robinhood Crypto, including to the roughly 140 workers Robinhood already has in Toronto.
The deal is predicted to shut within the second half of this yr.
TechCrunch talked with Robinhood CEO Vlad Tenev in December about his enthusiasm over a brand new U.S. administration that’s far friendlier to the crypto business, and about Robinhood’s personal rising give attention to crypto. “I believe crypto is the following in line in an extended chain of expertise improvements which have modified the underlying infrastructure of the monetary system in a constructive approach,” Tenev mentioned on the time.
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