Coinbase plans to acquire BtcTurk, a Turkish crypto exchange, for $3.2 billion. Its goal with the acquisition is to increase its reach, and instead of being recognized only as a major US exchange, it will go global. BtcTurk was founded on July 1, 2013, which makes it a very old exchange and has over 4.5 million users. Coinbase’s acquisition will allow them to establish its presence in Turkey.
Coinbase wants to become global
Coinbase is very keen on acquiring the BtcTurk exchange. Reports suggest that they might complete the deal very soon and even sell their shares to acquire the 9-year-old platform. This will make them a big player in the country and open up their business to millions of more customers. While the $3 billion might sound like a ton of money, it does seem to be a good investment here.
This is not the first acquisition news from Coinbase. They have also been in talks to acquire the Brazilian crypto exchange, 2TM, for around $2.1 billion. The deal is reported to close in April and will get them a step ahead towards the global goal. The BtcTurk deal is also expected to complete by April. The news of this acquisition was reported by Bloomberg, and there has been no official confirmation or report from either Coinbase or BtcTurk.
Turkey is a huge bet for Coinbase
The country is one of the fastest-growing crypto economies, and a lot of other major exchanges already have operations there. The government also seems to be in favor of the digital revolution and is encouraging investment in these assets. However, there is also a lot of uncertainty in the country. A lot of politicians there are showing very less interest in crypto, and the central bank of the country also banned the use of crypto as a payment medium in April 2021. So, it is difficult to say whether the country has a positive regulatory approach toward the industry or the opposite. So, Coinbase expending more than $3B to enter the country could either be a huge win or a devastating loss.
What are your thoughts as Coinbase plans to acquire BtcTurk under its global expansion program? And do you think this is going to turn out as a win for them? Let us know in the comments below. Also, if you found our content informative, do like and share it with your friends.
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