Bitcoin exchange Bullish bought CoinDesk edition
Related to the EOS and Block project.one Bullish cryptocurrency exchange has completed a deal to purchase CoinDesk, a publication specializing in the crypto industry.
Bullish has acquired @CoinDesk, which will operate as an independent subsidiary and retain editorial independence. Bullish will immediately inject capital into several of CoinDesk's most exciting growth initiatives which will power the launch of new services, events and products.... pic.twitter.com/vGIUXI9Jy3— Bullish (@Bullish) November 20, 2023
"Bullish will immediately invest in some of the most interesting growth initiatives CoinDesk, which will facilitate the launch of new services, events and products. We also want to express our unwavering support for CoinDesk's commitment to journalistic independence," the message reads.
Headed by ex-NYSE President Tom Farley, Bullish acquired 100% of the media from the Digital Currency Group (DCG) holding. Financial terms were not disclosed.
According to the press release, CoinDesk will operate as an independent subsidiary of the crypto exchange. It is also planned to form an editorial committee chaired by former editor-in-chief of The Wall Street Journal Matt Murray. The current CoinDesk management team will remain unchanged.
DCG founder Barry Silbert said he was "looking forward to seeing Bullish take CoinDesk to the next level."
2/ I’m incredibly proud of CoinDesk’s growth & development over the last seven years and its transformation into an award-winning media & events company and the most trusted information platform for digital assets
We look forward to seeing Bullish take CoinDesk to the next level
In January 2016, DCG announced the acquisition of CoinDesk. However, in the summer of 2022, it became known about the financial problems of another "daughter" of the holding — Genesis Global Capital. The group's landing business needed support after the bankruptcy of the cryptocurrency hedge fund Three Arrows Capital.
In November, the OTC platform froze the withdrawal of funds and the issuance of new loans. The firm referred to the "increased demands" of customers after the collapse of FTX.
In January 2023, Genesis Global Holdco and its subsidiaries Genesis Asia Pacific and Genesis Global Capital filed for bankruptcy. According to media reports, their liabilities exceed $3 billion.
Against this background, WSJ sources reported DCG's plans to sell CoinDesk with an estimate of $125 million in part or in full. Then the CEO of the firm, Kevin Worth, said that over the past few months she had received "numerous signals of interest" from potential buyers. The upper bar of the proposals allegedly amounted to $200 million.
In particular, Wang Feng, the creator of the Chinese cryptocurrency publication MarsBit, and Charles Hoskinson, the founder of Cardano, announced their possible participation in the transaction.
In July, journalists wrote that a group of investors is in the final stages of negotiations to buy CoinDesk. A month later, the publication cut 45% of the editorial staff, or about 20 people.
The launch of Bullish took place in November 2021. Block.one has invested $10 billion in the platform. The exchange was also supported by Thiel Capital and Peter Thiel's Founders, Galaxy Digital, Nomura, billionaire Alan Howard and others.
Recall that in July 2022 Bullish laid off almost 30 employees (~10% of the staff). A few months later, the company terminated the reverse merger with SPAC Far Peak Acquisition — it had previously planned to enter the NYSE in this way.