PANews reported on October 7 that according to Bloomberg, digital asset trading and brokerage company FalconX is looking for acquisition opportunities to cope with a series of transactions expected to occur in the industry. Raghu Yarlagadda, co-founder and CEO of FalconX, said in an interview that as more institutional players enter the market and regulations become stricter, the cost of cryptocurrency business will rise, which in turn will trigger a round of "consolidation wave" in 2025. Yarlagadda added: "At present, we are actively exploring potential acquisition opportunities and evaluating related industries and key players therein.
A FalconX spokesperson said the company has seen a significant increase in potential acquisition opportunities. They added that FalconX is looking to acquire high-quality smaller companies focused on institutional infrastructure, data and analytics, tokenization and to expand its trading team in 2025. "FalconX's second-quarter revenue hit a record high, growing 2.5 times compared with the same period last year. A spokesman for the company said derivatives trading revenue increased nearly three times. But they declined to disclose specific figures.
Founded in 2018 and based in San Mateo, California, FalconX was valued at $8 billion in a $150 million funding round in 2022. The company is backed by investors including Tiger Global, GIC and B Capital, and has more than 600 institutional clients, according to its website.