Circle, a US multi-currency digital payments company, has acquired Poloniex, the 14th cryptocurrency exchange platform with a total volume of $161,537,647 at the time of writing (see on coinmarketcap.com).
ESTIMATED ACQUISITION VALUE: $400 MILLION
We are at the beginning of a probable crypto-economy consolidation, a market that is still immature but it also still keeping going to grow and continues to keep huge promises.
The entire cryptocurrency market capitalization has grown from around $20 billion since the beginning of last year, to around $500 billion in the last two weeks.
Circle, an app specializing in sending and receiving money for mobile devices (Android and iOS), is made up of three parts: Circle Pay, for fiat currencies transfer, Circle Trade as liquidity provider of cryptocurrencies and the next Circle Invest, an application that will allow retail customers to invest in crypto-markets.
Poloniex, created by a team of crypto visionaries, has grown to become one of the world’s leading markets. Available in over a hundred countries on the globe, it offers an exchange with 68 different cryptocurrencies.
Circle CEO, Jeremy Allaire and Sean Neville, say they want to grow the Poloniex platform, starting from customer support and the technical side needed to improve the platform, and expanding it, where possible, by increasing the tokens offer in Poloniex list, elaborating also the connectivity with the fiat currencies USD, EUR and GBP that already Circle offers with its three products: Pay, Trade and Invest.
An excellent sign for the cryptocurrency sector, showing how many companies want to join consolidating the best talent in the field of digital payments, mutually respecting the work of others.
Poloniex, in turn, accepts with great involvement, declaring that thanks to the experience of Circle, Poloniex will also benefit in terms of reliability and scalability. In this way it will be possible to have the right support to be able to build a tokens market that is already revolutionizing the fundamentals of the “exchange of value” on a global level.
Neville and Allaire, declare in their blog (see the link) as follows:
“We commit to maintaining the features and services that have made Poloniex so familiar and relied upon by customers around the world. Many of the near-term changes you will experience will be behind the scenes, improving rather than dramatically or rashly altering what already works so well.
In the coming years, we expect to grow the Poloniex platform beyond its current incarnation as an exchange for only crypto assets. We envision a robust multi-sided distributed marketplace that can host tokens which represent everything of value: physical goods, fundraising and equity, real estate, creative productions such as works of art, music and literature, service leases and time-based rentals, credit, futures, and more.”
WE CAN CONCLUDE THAT THIS CIRCLE-POLONIEX CONNECTION IS THE BEST NEWS OF THE CURRENT YEAR
Even if it’s not the only one! In fact, towards the end of June 2017, Blockstream, the main supplier of blockchain technologies, at the forefront of cryptography and distributed systems, acquired Bitcoin wallet software provider GreenAddress.
Here’s how he explained the choice Blockstream in his blog:
“Today’s announcement is not a signal of our intention to begin acquiring companies in the Bitcoin or blockchain technology space. As we looked at our sidechain technology roadmap, including an open source, well-tested, and production-ready wallet was a natural choice. It was necessary to give depth to the platform and to meet requirements of many of our enterprise applications.”
Connection is an important concept created in the crypto-economy (see the article), such as the desire to acquire other companies to join, giving them “welcome”, and to offer increasingly complete services to users, which bring an advantage for both.
Circle is a globally recognized company for its high standards of consumer protection and self-regulation, and thanks to the Poloniex acquisition, will be able to make a wide range of digital resources more accessible to the general public.