CrossTower eyeing further crypto acquisitions outside of Voyager bid

Crypto exchange CrossTower Inc., which is currently bidding for the assets of Voyager Digital, is said to be window shopping for other crypto company acquisitions.

In a November 24 Bloomberg report, CrossTower CEO Kapil Rathi revealed that the company is picking up businesses with a “good set of customers” and a “good balance sheet” despite the current bear market, and says:

“We are in a great place to either acquire entities that have a good set of clients with them and a good balance sheet […] therefore we are openly looking at different types of companies from an organic growth perspective.”

In September, CrossTower was among the companies reportedly vying to acquire the assets of bankrupt crypto-lender Voyager Digital, along with FTX and Binance.

FTX Trading eventually became the winner of the Voyager bid on September 27 with the sale valued at $1.4 billion.

However, with the exchange filing for bankruptcy on November 11, Voyager reopened the bidding process and a new revised offer came from CrossTower on the same day.

“We are working on a revised offering that we feel will benefit Voyager customers and the broader Crypto community. CrossTower has always been, and will continue to be, very community focused,” a spokesperson told Cointelegraph at the time without specify an amount.

While CrossTower has yet to reveal any details about its latest bid for Voyager, CrossTower president Kristin Boggiano said Voyager’s small $3 million FTX investment would not play a factor in a potential sale for the lending platform.

CrossTower also said it has “minimal exposure” to FTX-related investments.

Other companies coming back to buy out Voyager’s assets include Binance and blockchain-focused venture capital firm Wave Financial, which also expressed interest in the initial auction for Voyager’s assets in September.

Related: Voyager’s auction did not serve depositors’ best interests, claims Wave Financial rep

In light of recent events with FTX, Boggiano stated that the firm has now placed an extra emphasis on companies that are highly transparent and compliant.

“There is an opportunity in this market to provide a compliance-focused platform and to bring the transparency and trust that people have been hoping for.”

However, Rathi said the trading platform’s risk appetite for buying out companies has leveled off with the firm looking to take a slightly more cautious approach over the short to medium term.

CrossTower is an American crypto asset exchange founded in 2019. It is a relatively small exchange with only $103,816 in trading volume over the past 24 hours with 13 spot markets, according to Coinmarketcap.

Related Posts