PANews reported on January 1st that digital asset trading and brokerage firm FalconX is in advanced talks to acquire Arbelos Markets, a derivatives startup founded in 2023 by two veterans of the crypto industry. According to insiders, the deal will be financed through a combination of cash and FalconX stock, and an announcement is expected in the coming days. It is currently unclear what the valuation of Arbelos will be.
FalconX co-founder and CEO Raghu Yarlagadda stated in October that he expects a wave of 'consolidation' in the industry and added that the company will actively seek acquisition targets.
Crypto derivatives liquidity provider Arbelos announced a $28 million funding round led by Dragonfly Capital in May 2024. FalconX is one of the investors in this round, along with others including Circle Ventures, Deribit, Paxos, and StarkWare.
FalconX was founded in 2018 and is headquartered in San Mateo, California. It was valued at $8 billion during a $150 million funding round in 2022. The company is supported by investors such as Tiger Global, GIC, and B Capital.