Cryptocurrency options exchange Deribit is reportedly exploring buyout opportunities as merger activity in the blockchain industry continues to heat up.
According to a Jan. 14 Bloomberg report, Deribit hired Financial Technology Partners in 2023 to support secondary stock sales to existing investors, though the firm’s mandate has expanded to include evaluating buyout offers.
The exchange could be worth between $4 billion and $5 billion, said Bloomberg.
“In short, Deribit has not been put up for sale,” Deribit told Bloomberg. “Over time, we have received interest in strategic investments from a variety of parties, which we will not disclose.”
Kraken is reportedly one of those parties, though it didn’t make a formal buyout offer, anonymous sources told Bloomberg.
Launched in 2016, Deribit is said to be one of the world’s largest crypto derivatives exchanges by volume. The exchange processed nearly $1.4 billion in trading volume over the last 24 hours, with open interest hitting $2.8 billion, according to CoinMarketCap data.
Deribit regularly alerts the market on Bitcoin and Ether options expirations. Source: Deribit
As Bloomberg reported, Deribit’s trading volume nearly doubled to $1.2 trillion in 2024.
The exchange officially relocated to Dubai, United Arab Emirates, in 2024 after securing a virtual asset service provider license.
Related: Bitcoin options expiry, explained: What it means for traders
Blockchain M&A activity heating up
Acquisitions are heating up across the crypto and blockchain space, which is a sign of industry maturation as companies seek to expand their market presence and leverage better economies of scale.
One of the most recent high-profile acquisitions was made by blockchain analytics firm Chainalysis, which purchased AI fraud detection startup Alterya for a reported $150 million. One month earlier, Chainalysis acquired Web3 security company Hexagate as it sought to expand its business to threat prevention.
Fiat-to-crypto on-ramp MoonPay also announced this week that it had purchased Helio, a blockchain payment processor, for $175 million. The deal was intended to expand MoonPay’s payment infrastructure for merchants.
On the brokerage side, FalconX recently purchased crypto derivatives startup Adbelos Markets for an undisclosed amount.
ARK Invest CEO Cathie Wood expects incoming US President Donald Trump to loosen the reins on blockchain M&A activity, driven by deregulation and changes at the Federal Trade Commission.
Related: AI, tokenization to usher ‘new long-tail capital market’ in 2025: Bitwise