Brief summary below of M&A Trends for the segment over the next few months.
Bear market scenarios are great opportunities for M&A and it will be no different for the crypto market. This consolidation factor is present in all companies and is a fundamental part of building a healthy and successful market.
1. Buy or build?
Big crypto corps betting on M&A as a way to reduce the risk of “build” and gain time-to-market with the “buy”;
More qualified access to geographies with different regulations and consumer behavior;
Search for complementary products that require high implementation costs if built from scratch.
2. Outsiders as the new insiders
Technology companies and large financial institutions entering the crypto market through M&A or CVC;
Outsiders creating proprietary solutions resulted in several controversies, such as the case of Meta investing US$20b in the construction of its metaverse (which has not yet shown what it came for);
Greater flow of investments from Web2 companies into Web3 companies;
Going on purchases from large financial institutions seeking to speed up time-to-market through crypto solutions, especially in DeFi.
3. Market in consolidation
Consolidation of players via M&A to join forces (and cash) to extend runway;
Search for synergy and efficiency in processes, products and the organization;
Greater financial sustainability to face a bear market scenario.
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