Coinbase to Purchase Echo for $375 Million
In its vigilant pursuit of expanding its stronghold in the digital economy and the blockchain industry, powerhouse Coinbase Global Inc., has decided to acquire an innovative platform known as, Echo. Echo operates as an on-chain private investment platform dedicated to providing financial instruments and solutions in the cryptocurrency market. According to inside news from the company and reports from renowned financial publications, the deal will amount to an incredible $375 million.
Details of the Purchase
All the sources in tune with the latest development suggest that Coinbase is leveraging a well-calibrated mix of cash and stocks to finance this mega-acquisition. Although the details concerning the transaction are not yet public, it is certain that the particulars will see the light of the day very soon. The deal represents one of the most significant financial agreements in the digital currencies space.
Confirmation of the Proposal
The news, which till now was just a matter of speculation and anticipation, has been confirmed by Jordan Fish; the brain behind Echo. Fish, more popularly known around online spaces as Cobie, confirmed the transaction in a statement on a social media platform. His message read, “I certainly didn’t think echo would be sold to Coinbase. However, here we are. Today, Coinbase bought Echo for approximately $375m.”
Future of Echo after the Acquisition
The founder of Echo reassured the users and stakeholders that even after being acquired by Coinbase, Echo would persist as an independent platform under its present brand. However, Coinbase does have plans in the pipeline to incorporate and integrate Sonar, Echo’s public token sale product into its fast-expanding portfolio. This will further consolidate its expansive offering, while also providing Echo’s solutions to a broader market base.
Previous Acquisitions by Coinbase
This striking acquisition is not the first for the cryptocurrency giant, Coinbase Global Inc. The ongoing year has witnessed the firm move aggressively on the acquisition front, the purchase of Echo marking its eighth so far. Prior acquisitions included companies such as Deribit and LiquiFi. Most notably, they spent a sizable $25 million to acquire a trending NFT to resurrect the syndication of the much-loved crypto podcast, UpOnly.
Impact on Stock Prices
The latest market data and stock price statistics exemplify the upward trajectory of Coinbase’s stock prices. According to reports, the firm’s stock concluded trading at $343.78 on the previous trading day, registering an impressive growth of 2.31%. On a year-to-year (YTD) basis, it has recorded an increase of 33% in price. The firm’s market capitalization currently stands at a towering $88.3 billion, showcasing its strength and stability in the market.
Further Updates
Efforts are being made to glean more information regarding the specifics of the deal from Coinbase. As of now, all the details have not been revealed. However, with the news confirmed by Echo’s Founder, the industry waits to see how this acquisition will play out and its impact on both Coinbase and Echo, but also a wider digital currency market.
