According to multiple reports, Coinbase (NASDAQ:COIN) is poised to purchase the Brazil-based 2TM parent company of Mercado Bitcoin (Bitcoin Market). Expectations are for an announcement soon in April.
This past December, Mercado Bitcoin raised $50.2 million in Series A funding that was part of a larger $200 million round in July.
Mercado Bitcoin claims to be the largest crypto exchange in Latin America with operations in multiple countries and more than 3.2 million users.
2TM describes itself as a bridge between traditional finance and digital assets. It is one of the largest Fintechs in Latin America with investments in multiple firms.
If the deal goes through, the acquisition will materially expand Coinbase’s operations to the Latin American market. Coinbase is currently the largest crypto exchange in the US.
Shares in Coinbase moved higher on the news as investors welcomed the potential acquisition. Shares are trading at round $197 well below its 52 week high of around $429/share.