Circle, a Goldman Sachs-backed crypto finance firm, declared that it completed the acquisition of SeedInvest. Interestingly, SeedInvest is a crowdfunding platform and registered operator of a broker-dealer. The news was reported by means of a post on crypto exchange Coinbase’s official blog published March 4.
Several crypto media outlets initially reported about the ongoing acquisition in October last year, noting that the deal will facilitate Circle to increase SeedInvest’s offerings to shore up digital assets and cryptocurrencies. These include fiat stablecoins as well as issuing and offering tokenized securities. It is to be noted that the acquisition was put on hold until the United States Financial Industry Regulatory Authority (FINRA) permitted the deal, at the time.
As per the announcement, the acquisition completed after Circle obtained regulatory consent by the FINRA, closing the acquisition. Interestingly, the acquired company will allegedly continue to operate usually and will supposedly allow Circle to further explore asset tokenization.
Notably, SeedInvest has effectively funded over two hundred and twenty companies and counts over 260,000 users, as per the stats reported on its website. Furthermore, the total investment made by means of SeedInvest allegedly amounts to over $115 million.
In the meantime, as per an unconfirmed report, Circle itself is also looking to raise $250 million of funding in a combination of debt and equity.
A recent acquisition by cryptocurrency and digital asset exchange Coinbase spurred hullabaloo after news broke that the acquired digital intelligence firm Neutrino was associated with Hacking Team. It is to be noted that Hacking Team allegedly sold tracking software to authoritarian regimes.