Binance, the largest cryptocurrency in the world, is all set to make its fifth major acquisition to date. According to reports, Binance would soon be the owner CoinMarketCap, one of the leading data sources in the crypto industry. Notably, the deal is worth $400 million.
Crypto publication, The Block, reported that the deal is already in its final stage and that the development would be officially announced within this week. Once it finalizes, it means that CoinMarketCap would join the list of Binance’s biggest acquisition in its history, which includes data analytics platform DappReview, crypto exchanges WasirX and JEX, mobile crypto wallet Trust Wallet. There are also reports confirming Binance’s investment in a Chinese news agency, Mars Finance.
The possible implications to the crypto industry
The news immediately created a buzz within the crypto industry, with analysts citing the potential effects of the deal to the community, particularly in terms of transparency and neutrality. As per the data of SimilarWeb, CoinMarketCap has an average monthly visitor of 37 million.
With that all being said, the pending acquisition is seen by many as a conflict of interest. This is because Binance would gain control of a third-party crypto tool that is being relied upon by millions of users worldwide.
However, despite the criticisms, it seems that Binance is already on its way of reaping the benefits. Binance Coin (BNB) exhibited a modest surge that accounts for 3.5% following the news. As of press time, the coin is trading at $12.70, coming from $11.30.