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 property underneath custody. The transaction affords WonderFi shareholders CA$0.36 per share, representing a 41% premium over the corporate’s current closing value. (WonderFi went public in Canada by a reverse takeover in 2021.)
The tie-up follows Robinhood’s $200 million buy of European alternate Bitstamp final yr and reinforces its world enlargement technique.
WonderFi’s group, together with CEO Dean Skurka, will be a part of Robinhood Crypto, including to the roughly 140 staff Robinhood already has in Toronto.
The deal is anticipated to shut within the second half of this yr.
fomofactorynews 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 trade, and about Robinhood’s personal rising concentrate on crypto. “I feel crypto is the following in line in a protracted chain of expertise improvements which have modified the underlying infrastructure of the monetary system in a optimistic method,” Tenev mentioned on the time.
