Coinbase is reportedly in late-stage talks to acquire BVNK for around $2B. [NEWS]
Backed by Visa, Citi and Tiger Global, BVNK has processed $20B+ in transactions and is valued at $750M, available across 180+ countries. Let’s unpack.
Coinbase is marking its boldest step yet toward building a full-stack stablecoin payments network through the acquisition of London-based infra provider, BVNK. BVNK’s enterprise-grade infrastructure would give Coinbase instant access to regulated payment corridors across the U.K., EU, and Asia.
Zooming in: BVNK acquisition will be a catalyst for a complete structural transformation for Coinbase. It had a strong quarter, reporting $1.8B in total revenue, a +25% QoQ, mainly through its exchange platform. Now, it is focusing on expanding its institutional arm from trade, custody, CaaS to enterprise-grade payment rails.
This acquisition will also help Coinbase to vertically integrate Base, into the core operations of major payment service providers (PSPs) and global corporations, including BVNK’s established clients like Worldpay, Deel, and dLocal.
Context: In May, BVNK partnered with Worldpay, which processes $2.3 trillion annually for 1M+ merchants, to enable stablecoin payouts across 180+ countries.
Zooming out: BVNK’s infrastructure can turn trading clients into recurring-revenue customers. Instead of competing on fees, Coinbase can charge for high-margin infrastructure, shifting to powering payments.
