Coinbase and Mastercard in Talks to Acquire BVNK
Coinbase and Mastercard are in advanced talks to buy BVNK, a London-based stablecoin infrastructure firm. The deal could be valued between $1.5 billion and $2.5 billion. However, it is not yet confirmed if the acquisition will be completed.
BVNK’s Market Position and Recent Funding
According to a Fortune report, BVNK raised $50 million in December. Investors included Haun Ventures, Coinbase Ventures, and Tiger Global. This funding valued BVNK at about $750 million.
BVNK’s valuation is lower than Bridge, a stablecoin company Stripe acquired for $1.1 billion in February. BVNK is notable for its strong banking connections and financial licenses. It facilitates converting stablecoins into traditional currencies like the US dollar.
Stablecoin Sector Growth and Market Impact
- Mastercard’s stock price is $564.55, down 1.93% in the last 24 hours.
- Coinbase’s stock price is $387.00, down 0.07% in the last 24 hours.
- Stablecoin companies have attracted significant investment this year.
- Circle went public in June, boosting interest in stablecoins.
- The Genius Act, passed in July, regulates stablecoins.
Traditional financial firms like Mastercard have shown concern over these developments. Their stock fell in June after news that Amazon and Walmart explored stablecoins and following the Genius Act’s passage.
BVNK was founded in 2021 by Chris Harmse, Jesse Hemson-Struthers, and Donald Jackson. The company supports businesses in using stablecoins for payments, cross-border transactions, and global financial tracking.
If acquired, this would be the largest stablecoin deal to date. It highlights the growing importance of stablecoins and the competition between crypto and traditional finance companies.
