Arca, Blocktower to be integrated into a unified crypto platform
Arca and BlockTower Capital have agreed to join a unified cryptocurrency investment platform, according to a November 13 announcement.
“Investors have been clamoring for regulated digital asset investment offerings for years,” Arca CEO Rein Steinberg said in a statement.
The combination will help ensure the companies “have the resources and expertise to effectively manage our existing product offerings and expand our investment options,” Steinberg added.
Arca and Blocktower are both registered investment advisors in the United States. Blocktower Venture Capital's arm, Blocktower Venture Capital, will continue to operate independently, the companies said.
“Competing in the mature digital assets space and serving our investors requires a constant battle for top talent. We are excited to immediately create a strong investment team by merging with Arca,” Blocktower Chief Investment Officer Ari Paul said in a statement.
Source: Arch
Related: Coinbase acquires on-chain payment platform Utopia
In May, Blocktower Capital One went bankrupt after an exploit depleted some of the firm's cryptocurrency holdings. According to Bloomberg, at the time of the attack, it managed about $1.7 billion.
Integration activity is heating up in Web 3 as companies scramble to expand operations and add additional capabilities.
In the year On November 13, Coinbase bought Utopia Labs in a bid to build the cryptocurrency exchange's on-chain payment infrastructure, Coinbase said on November 13.
The Utopia Labs team “will join Base, Coinbase's Layer 2 scaling network, to help accelerate our onchain payments roadmap in Coinbase Wallet,” Coinbase said in a blog post.
“There's a natural flywheel here: Base is supporting developers building onchain apps, those apps attract users to onchain, Wallet attracts those users, and in turn more users encourage more developers to build onchain,” Coinbase said.
In October, payments giant Stripe acquired stablecoin platform Bridge in a $1.1 billion deal to deliver on an earlier promise to add support for stablecoin payments.
On July 9, Defy Technologies agreed to buy trading desk Stillman Digital in an all-stock deal that analysts say will turn the Canadian cryptocurrency platform into a “miniature version of Galaxy Digital.”
The purchase reflected the need to monitor the scale of crypto platforms “so that they can use size and diversity to navigate the significant change in speed of the industry and the increasing competition in many sub-verticals,” Mark Palmer, an equity analyst at Benchmark, said in July.
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