Coinbase, the largest US cryptocurrency exchange, is in talks to acquire India-based exchange CoinDCX at a valuation of approximately $1 billion, according to Indian media outlet Livemint.
CoinDCX's valuation has fallen below $1 billion from a peak of $2.2 billion following a $44 million attack targeting its operational hot wallet nearly two weeks ago.
CoinDCX, which once had over 10 million users and 1,000 employees, struggled to recover from the incident.
The sources stated that this deal reflects Coinbase’s strategic move into India’s rapidly growing digital asset market and sees it as a long-term investment in the Indian market.
While Coinbase CoinDCX talks continue to be discussed, the first comment came from CoinDCX CEO Sumit Gupta.
The CoinDCX CEO denied that his company was in talks to be acquired by Coinbase for approximately $1 billion.
“I just saw the news!
Don't listen to the rumours! CoinDCX is hyper-focused on building India's cryptocurrency story and is not for sale!
I'll share more later, but I wanted to clarify this upfront!”
While Gupta has denied any talks of acquiring Coinbase CoinDCX, Coinbase appears to be on a buying spree, having acquired Deribit for $2.9 billion in May as part of its bid to become a leader in the crypto derivatives market.
*This is not investment advice.
