US crypto exchange goes public

EQUOS.io, a newly opened crypto derivative platform, is preparing to become the first crypto exchange listed in the US Nasdaq. However, the stock exchange’s entrance to Nasdaq seems to be “from the back door”.

Hong Kong-based Diginex announced today that it has merged EQUOS.io with Singapore’s 8i Enterprises Acquisition Corp. 8i Enterprises Acquisition Corp, a special-purpose purchasing company (SPAC), is currently traded on Nasdaq.

As it is known, companies under the name of SPAC acquire fund revenue from public offerings, then purchase the existing company and merge it with another company that is open to the public, and thus open it to the public through the “back door”.

This has become incredibly fashionable for the first time since the 1990s. In this way, while $ 3.2 billion was collected in 2016, this figure increased to $ 13.6 billion in 2019, more than 4 times that in 2016.

Diginex CEO Richard Byworth told CoinDesk that SPACs are cheaper and faster than traditional listings, and they also fixed the values ​​in advance by preventing the last minute WeWork-like devaluation events. Byworth added that after the merger was completed in September, EQUOS.io will be the first crypto exchange to go public in the US.

EQUOS.io employees, who will work with a corporate investment focus and are newly opened, are selected from people working in traditional derivatives markets. The aim of the company is to increase the crypto derivative market, which is at the very beginning of the road, hundreds of times more than the spot market.

In fact, Diginex wanted to make the listing move much earlier. The U.S. Securities and Exchange Commission SEC approved the deal in February and made a date for March 20.

“If you remember, it was a day when the S&P 500 fell 12.5 percent.” In other words, it was not a very good time to enter the market. ”

EQUOS.io is not the only cryptocurrency company that goes public. Ant Group, one of the main companies that will release China’s digital yuan, announced that it will be listed on both Hong Kong and Shanghai exchanges earlier this month. The crypto exchange Coinbase also aims to be listed directly in 2021.

Chinese mining chip maker Canaan Creative also had an IPO of $ 100 million in November 2019. If this is not listed, the company’s hiise price fell from $ 9 to $ 3.

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