Coinbase plans billion-dollar takeover: strong boost for stablecoins!

Coinbase plans billion-dollar takeover: strong boost for stablecoins!

Coinbase, the leading cryptocurrency exchange, is in advanced talks to acquire stablecoin infrastructure startup BVNK. The price of the deal is estimated to be around $2 billion, like Daily Hodl reported. This acquisition is part of Coinbase's strategy to strengthen its initiatives in the stablecoin space and advance innovative payment methods.

Discussions about the deal are still subject to due diligence. If successful, Coinbase plans to complete the transaction later this year or early next year, assuming no unforeseen issues arise. Coinbase Ventures, the investment arm of Coinbase, already owns shares in BVNK, which specializes in stablecoin technology and supports seamless payments and transfers.

Strategic partnerships and developments

Coinbase has made several significant moves to promote stablecoins in the past. In 2018, the company founded the CENTRE consortium together with Circle to launch and manage the stablecoin USDC. In 2023, Coinbase acquired a minority stake in Circle after the consortium was dissolved. To encourage USDC adoption, Coinbase now shares revenue from USDC reserves equally.

Additionally, the company has worked with Apollo to develop lending strategies that include overcollateralized loans and tokenized holdings in the stablecoin ecosystem. To further deepen DeFi liquidity for assets like USDC, Coinbase has also launched a stablecoin bootstrap fund that will work across protocols like Aave and Morpho.

The potential acquisition of BVNK could therefore represent a further step in Coinbase's ambition to establish itself as a leading player in the stablecoin space. The company's goal is to offer its customers improved and more efficient payment services.