Online brokerage platform Robinhood (HOOD) has agreed to acquire London-based crypto platform Ziglu, giving it a Financial Conduct Authority-regulated arm in the U.K.
- No financial terms were disclosed for the deal announced Tuesday, which is subject to regulatory approval.
- Ziglu offers buying and selling services for 11 cryptocurrencies as well as a "Boost/" product that earns users yield on their holdings.
- The firm won approval to offer crypto services in the U.K. by financial watchdog the Financial Conduct Authority (FCA) in 2020, the third firm to gain such approval.
- Ziglu raised over $7 million on crowdfunding site Seedrs in November, the largest fundraise on Seedrs in 2021.
- Robinhood's long-term goal is to move Ziglu more fully into its own platform to "bring the Robinhood brand overseas," according to the blog post.
- "Ziglu's impressive team of deeply experienced financial services and crypto experts will help us accelerate our global expansion efforts," said Vlad Tenev, Robinhood's CEO and co-founder, in a statement.
UPDATE (April 19, 14:04 UTC): Added background on Ziglu.
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.