NASDAQ Concludes Plans to Acquire Crypto-Friendly Swedish Exchange Cinnober

NASDAQ, the world’s largest stock exchange, continues to build on its strategic technology infrastructure as it announces the acquisition of cryptocurrency-friendly exchange Cinnober.

0

NASDAQ, the world’s largest stock exchange, continues to build on its strategic technology infrastructure as it announces the acquisition of cryptocurrency-friendly exchange Cinnober.

Cinnober’s Fintech knowledge now part of NASDAQ

NASDAQ made the announcement via a blog post explaining that it has made a $190m all-cash deal to acquire all the outstanding shares and warrants of Cinnober exchange.

The stock exchange believes that this acquisition would put it ahead of others as the leading market infrastructure technology provider in the world.

Cinnober, on its part, has been around for more than two decades and becoming one of the best multi-asset class solutions technology service provider. The exchange has been very open to digital assets and its partnership with BitGo is a very important one in the sector.

The BitGo platform would be very useful to the large institutional investors that NASDAQ caters for. The platform has multi-signature security and custody solution is a feature that the stock exchange will be looking forward to making use of.

NASDAQ is excited about this deal, with Adena Friedman, president and CEO, stating that the acquisition of Cinnober would boost NASDAQ’s intellectual capital, technological competence, and capabilities.

The acquisition would also go a long way in boosting their ability to serve market infrastructure operators worldwide, while also accelerating their ability to expand into new growth segments.

Cinnober has a cryptocurrency custodian service which would be very useful to NASDAQ as the issue of custodianship continues to be one of the fears of institutional investors towards the cryptocurrency space.

NASDAQ building its crypto services

The leading stock exchange in the world is not going to play catch up to rivals when it comes to cryptocurrency services and products.

Following the rejection of the Winklevoss ETF a few weeks ago, reports surfaced that NASDAQ met with some Wall Street stalwarts and representatives from the crypto industry as they look for ways to legitimize cryptocurrency as an asset class.

The exchange has partnered with several cryptocurrency exchanges which would see them use NASDAQ’s market surveillance technology to police their trading venues.

The reports further added that NASDAQ is open to listing cryptocurrencies once the asset class becomes more mature.

Friedman stated that he believes that cryptocurrency is the next evolution in the currency space but he is not sure which of the current cryptocurrencies would achieve the mass adoption,

NASDAQ to design crypto price predicting tool

Last week, the company’s Head of Alternative Data Bill Dague revealed that Nasdaq is looking to develop analytical tools that will help predict the price movements of crypto assets.

The crypto asset tool will be added to their market analytical tools once it has been completed, he added. NASDAQ revealed that it has seen an increasing interest on the crypto dataset and is the reason why it is developing the product.

Leave A Reply

Your email address will not be published.