Coindesk Finally Sold, Becomes Crypto Billionaire's 'Best Investment'

Bullish, a cryptocurrency exchange led by former NYSE President Tom Farley, announced the purchase of 100% of CoinDesk Monday from Digital Currency Group in an all-cash deal.

What Happened: Post-acquisition, the crypto-focused media company will operate as an independent subsidiary of Bullish and the management team led by CEO Kevin Worth will remain in place, according to a press release. Former Wall Street Journal Editor-in-Chief Matt Murray will head a newly formed editorial committee.

The financial terms of the deal are undisclosed.

DCG acquired CoinDesk in 2016 for $500,000, at a time when Bitcoin was trading 28% lower than its current price. DCG's lending subsidiary Genesis Global Capital is in bankruptcy. 

"Today, we are thrilled to announce that CoinDesk was sold to Bullish, making it one of our best investments of all time," DCG CEO Barry Silbert said in a tweet.

Why It Matters: Bullish said it looks to invest in CoinDesk’s global expansion and the growth of its media, events and indexing businesses. “

With its acclaimed editorial coverage, premier events, and market-leading data and indices, CoinDesk continues to shape the global crypto and blockchain ecosystem,” said Bullish CEO Tom Farley. 

Farley said Bullish plans to infuse capital into CoinDesk growth initiatives that will lead to new services, events and products. Bullish investors includ Peter Thiel’s Founders Fund and hedge fund manager Louis Bacon.

Bullish could push CoinDesk to bring its conference business to Asia, where the exchange has a strong foothold, especially in Hong Kong and Singapore, the Wall Street Journal reported, citing Farley. 

The Sam Bankman-Fried story first broke when CoinDesk published leaked financials from the FTX founder’s hedge fund Alameda Research.

In January 2023, CoinDesk took assistance from Lazard bankers for exploring options of a full or partial sale, and in August, the media company cut 16% of its internal staff.

Photo via Pixabay.