Cboe Completes Acquisition of Crypto Exchange ErisX

Cboe Global Markets (Cboe: CBOE), which operates a major derivatives exchange in the US, announced on Monday the completion of the acquisition of Eris Digital Holdings (ErisX), a Chicago-based crypto exchange. Both the companies agreed to the deal last October.

The acquisition Acquisition Acquisition means acquiring or taking possession or the securing of property, services, or abilities. To put it simply, it is the act or process of acquiring or gaining. You can acquire a work of art, you can acquire an ability such as speaking another language, you can acquire a business or shares in a company and you can acquire an accountant's service. For example, you can acquire a new car. In a broad sense, Acquisition can mean the act of taking ownership or possession of something. There Acquisition means acquiring or taking possession or the securing of property, services, or abilities. To put it simply, it is the act or process of acquiring or gaining. You can acquire a work of art, you can acquire an ability such as speaking another language, you can acquire a business or shares in a company and you can acquire an accountant's service. For example, you can acquire a new car. In a broad sense, Acquisition can mean the act of taking ownership or possession of something. There Read this Term is strategic as it will allow Cboe to dive into the digital asset spot and derivatives marketplaces.

“We see enormous potential in the digital asset market and are excited to apply our blueprint of success to this burgeoning asset class,” Ed Tilly, who is heading Cboe as the Chairman, President and CEO, said.

A Regulated Crypto Trading Venue

Cboe’s interest in ErisX was also due to regulatory permissions the digital asset platform is achieving in the United States. It is a CFTC-registered Designated Contract Market (DCM) and offers clearing Clearing Clearing is a general term that simply means many different things depending on the subject and related industry. Most commonly, this refers to the reciprocal exchange between banks of checks and drafts, and the settlement of the differences, or the total of claims settled at a clearinghouse. In finance and banking, the word clearing has different meanings depending on the more specific business model. Moving checks from the bank where they were deposited to the bank on which they were drawn. Th Clearing is a general term that simply means many different things depending on the subject and related industry. Most commonly, this refers to the reciprocal exchange between banks of checks and drafts, and the settlement of the differences, or the total of claims settled at a clearinghouse. In finance and banking, the word clearing has different meanings depending on the more specific business model. Moving checks from the bank where they were deposited to the bank on which they were drawn. Th Read this Term services as a Derivatives Clearing Organization (DCO). In addition, it offers spot crypto trading services with licenses obtained from regulators in New York and other US states.

“From the beginning, our vision was to advance the digital asset spot, data, derivatives and clearing ecosystem by making regulatory compliance and operational integrity the foundation of the ErisX business,” the CEO of ErisX, Thomas Chippas said.

As a part of the acquisition, ErisX's CEO and the rest of the employees will join the new parent company, Cboe.

Neither the companies disclosed the financial terms of the acquisition deal, but they highlighted that the purchase price is not material from a financial perspective. Rather, it was more influenced by ErisX’s regulated position in the digital asset market and its growth potential.

Moreover, Cboe is bullish on its new subsidiary and is anticipating that the digital asset platform will have profitable EBITDA within the next two to three years and will benefit from its diversified revenue streams.

“Tom Chippas and the entire ErisX team have made significant progress bringing the regulatory framework and transparency of traditional markets to the digital asset space, and I look forward to working together, with our industry partners, to grow the digital asset market on a global scale,” Tilly added.