- WonderFi and Coinsquare are debating a possible merger.
- The firms’ merger resulted in the formation of Canada’s largest crypto exchange.
WonderFi, will provide access to decentralized and regulated centralized crypto platforms and is focused on defining the future of finance. And they revealed that it is in preliminary talks with another Canadian crypto exchange Coinsqure about a prospective merger.
An official announcement is to issue in the coming days. Bloomberg stated
“The publication of the news on Thursday afternoon, shares of Kevin O’Leary-backed WonderFi were halted on the Toronto stock exchange. WonderFi’s stock closed at 31 cents, up 29%.”
WonderFi and Coinsquare Merger Are Now in Debate
In a statement issued on January 12, WonderFi responded to a Bloomberg article claiming that the two exchanges were discussing a merger to form a Canadian crypto gaint. According to Coinsmart, Coinsquare canceled the acquisition deal just a few days ago with Coinsmart.
Further, as a response to press speculation, the company recognizes that early negotiations have taken place with various third parties regarding both potential acquisitions. And the company is going to acquire, which is consistent with past practice and the company’s general acquisition strategy.
And the discussion has stated that it is ongoing, with no promise that any agreement or agreements will reach. The terms of a transaction would be agreed upon, or that a transaction will complete.
According to the research, WonderFi had approximately 650,000 users and $258 million in assets under management in November. While privately held Conisquare had approximately 500,000 users. In addition, Coinsquare became the first crypto-native company to join Canada’s main self-regulatory agency. And that is the Investment Industry Regulatory Organization of Canada, in October (IIROC).