Crypto M&A Activities Increase 4,846% in 2021

PwC, one of the world’s largest professional services networks, recently published a report on the global crypto M&A and fundraising space. According to the report, crypto mergers and acquisitions activity jumped by a whopping 4,846% in 2021.

The average deal size reached $179.7 million, compared to $52.7 million in 2020. The American region led the overall crypto deals in 2021. In terms of fundraising, the total number of deals spiked significantly during the mentioned period.

2021 witnessed some of the biggest crypto deals in history. Cryptocurrency firms like digital exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term FTX, Sorare and NYDIG raised record funding. The NFTs and Metaverse sectors gained immense popularity among venture capital firms.

“The total value of crypto M&A deals in 2021 [grew] just over 50x the total in 2020. The average cryptocurrency M&A deal size also increased from US$127mil to US$179.7mil in 2021. Top 10 M&A deals in 2021 saw a significant increase in deal values, with numerous deals valued at over US$1bil in 2021 as compared to none in 2020. We saw larger and more developed crypto companies becoming more active in M&A, a sign that the crypto industry continues to mature, and consolidation is beginning to occur,” PwC said.

M&A Deals

Global companies poured billions of dollars into cryptocurrency firms last year for mergers and acquisitions. According to the report, each of the top 10 deals was worth more than $1 billion.

“2021 also saw crypto players tap Special-Purpose 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 Companies (SPAC) as a means of accessing capital markets, with 4 of top 10 deals bringing a total of US$19.4bil in 2021. The average size of the top 10 M&A deals was US$3.3bil, just over 9x larger than Binance’s acquisition of CoinMarketCap in 2020,” PwC added.

The American region accounted for almost 50% of the global cryptocurrency deals in 2021.