Making Moves - This Leading Crypto Company's Acquisition Could Be Big News For Adoption

CryptoBlox Technologies CRYBD, an innovative company with a portfolio of investments in blockchain technology, has signed a share purchase agreement to acquire Blockchain Fintech Unipessoal LDA. Based in Portugal, the acquired company develops blockchain-based financial technologies that help onboard average users to the blockchain economy.

The Numbers

Under the agreement, The Canadian-based CryptoBlox will acquire 100% of the outstanding shares of Blockchain Fintech for 20,000,000 common shares of CryptoBlox valued at $11 million, pending due diligence and the approval of the Canadian Securities Exchange. 

In September of 2023, CryptoBlox announced its intent to enter a strategic partnership with Blockchain Fintech. Under that deal, CryptoBlox would acquire the rights to the company’s digital asset license then under development. Since then, CryptoBlox shares increased in value by roughly 700%, allowing the company to acquire the entire Blockchain Fintech business instead.

Benefits Of The Acquisition 

The move comes as CryptoBlox is focused on building out its diversified blockchain ecosystem strategy. The strategy consists of three divisions: Infrastructure and Sustainable Digital Asset Mining, Sustainable Mining Products and Technology, and Structured Digital Asset Products and Blockchain Payments. The company hopes the acquisition of Blockchain Fintech will help complete that strategy by strengthening and accelerating the development of the Structured Digital Asset Products and Blockchain Payments division.

"The acquisition will enable us to accelerate and better execute our Blockchain Ecosystem strategy," CryptoBlox CEO Akshay Sood said in a statement. “By integrating Blockchain Fintech's technology within our Blockchain Ecosystem, we hope to soon be positioned to launch our suite of non-custodial digital asset products.”

CryptoBlox says it believes Blockchain Fintech’s focus on user-centric design, simplicity, and market-tested functionality aligns with its own goal to encourage all types of users, regardless of previous blockchain know-how, to onboard onto its products. CryptoBlox hopes to help onboard both banked and unbanked users onto the blockchain economy in an efficient and user-friendly way. This may lead to more adoption of crypto and blockchain technology. 

Redefining Transactions

CryptoBlox says it hopes to innovate not only in user-driven products but also within the associated payment networks, capturing the end-to-end value in blockchain transactions.

The acquired user-friendly payment solutions redefine individual and business transactions both locally and internationally. CrytoBlox says its due diligence has confirmed the Portuguese company has incurred more than $1 million in technology development costs to date.

"Establishing our Structured Digital Asset Products & Blockchain Payments division has been a core part of our blockchain ecosystem, especially as the industry is coming up from a whirlwind of bankruptcies related to custodial digital asset platforms over the past two years,” Sood said. “The market share of these platforms and products, which at a fundamental level give people back control and ownership, is set to continue increasing over the next five years and we want to be at the forefront of that change and adoption."

TMX contributed to this story.

Featured photo by Shubham Dhage on Unsplash

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