The consolidation of cryptocurrency-related firms surged massively in 2020, hitting a brand new report in deal exercise, in keeping with a brand new report by skilled companies community PwC.
The entire quantity of mergers and acquisitions within the crypto business greater than doubled from $481 million in 2019 to $1.1 billion in2020, PwC stated in a Monday market overview, as seen by Bloomberg.
The common deal measurement in crypto surged from $19 million in 2019 to almost $53 million, with crypto fundraising rising 33% in total worth in 2020. Nations within the EMEA area noticed a notable spike within the variety of offers, whereas the Americas recorded a threefold development in deal worth.
Following new highs final yr, deal exercise within the crypto business is prone to proceed rising in 2021. PwC world crypto chief Henri Arslanian stated that 2021 is “already on observe to considerably surpass it from each single metric” as institutional gamers and high-profile buyers are shifting into the business.
Alongside higher consolidation in crypto, PwC additionally predicted that the business will turn into extra institutionalized. The survey reportedly cited main positive aspects within the crypto market — with Bitcoin hitting its all-time excessive of over $61,000 in mid-March — in addition to the rising adoption of central financial institution digital currencies, stablecoins, decentralized finance and non-fungible tokens, also called NFTs.
As beforehand reported by Cointelegraph, main world cryptocurrency exchanges like Binance, FTX and Coinbase made the highest three acquisitions within the crypto business in 2020.