DeFi Technologies to Acquire Trading Desk Stillman Digital in a Move to Become a \'Smaller Version of Galaxy Digital\'

The buyout, which valued Stillman at approximately CA$4.22 million ($3.1 million) as of the close of trading July 8

Canadian crypto platform DeFi Technologies (CBOE CA:DEFI) will expand its capabilities with the acquisition of trading desk Stillman Digital in an all-stock deal.

The buyout, which valued Stillman at roughly CA$4.22 million ($3.1 million) as of the close of trading July 8, will create a smaller version of Galaxy Digital, according to Mark Palmer, an equity research analyst at The Benchmark Company.

“The resulting DeFi platform, which would combine crypto asset management, execution trading, and proprietary trading, would be akin to a smaller version of Galaxy Digital, in our view, as it would include variations on Galaxy’s product offerings,” Palmer told Cointelegraph in an email.

The deal, which has been agreed to but not yet completed, is a strategic move to expand DeFi Technologies’ capabilities in the trading sector, as well as diversify its client base and revenue streams, according to the statement.

“This transaction will enhance our trading capabilities and generate revenue during bear markets, thanks to Stillman’s crypto onramping business, which is particularly strong in bear markets.” DeFi Technologies Vice President of Marketing and Communications Curtis Schlaufman told Cointelegraph in an email.

According to the statement, Stillman has facilitated more than $15 billion in trading volume since its inception, around $4 billion of which occurred in the first quarter of 2024.

The pending acquisition comes amid a wave of consolidation in the crypto industry, with several mergers and acquisitions (M&A) being announced in 2024. According to M&A advisory Architect Partners, the consolidation is being driven largely by brokerages, exchanges and other financial infrastructure providers.

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