European investment platform BUX have announced they have acquired Blockport (BPT) who were originally marketed as the first social cryptocurrency exchange. Netherlands-based BUX operate in 9 countries and promote a similar community focused business model to Blockport but this will be their first foray out of traditional finance and into cryptocurrency trading.
Although the terms of the agreement were not disclosed, Blockport’s core team will lead the integration of the platform and rebranding to BUX Crypto.
Vital Role
Explaining the reasons behind the acquisition, Nick Bortot, CEO and Founder of BUX, said our “…users have long expressed interest in investing in cryptocurrency and we have been presented with an opportunity to bring on a committed and enthusiastic team that aligns clearly with our mission at BUX.”
As the company “…believes cryptocurrency will play a vital role in the future of the financial ecosystem…,” BUX Crypto will support existing trade and investment products such as BUX Zero and BUX X so the business can “…position itself as a 360-degree solution for all investing needs of European millennials.”
Founder of Blockport, Sebastiaan Lichter, has stated that “…the Blockport token will also be rebranded under the BUX umbrella…[and it]…will remain integrated in the platform and will also keep its trading discount function, which offers users a discount on trading fees.”Â
The timing of the announcement coincides with regulatory requirements that compel companies to register with the Dutch Central Bank (DNB) as of the 10th January 2020 if they offer services for exchange between cryptocurrencies and fiat.
Launched in a $15 million initial coin offering (ICO) in January 2018, Blockport attempted to pursue a Security Token Offering (STO) the following year but the public response was muted and the platform was effectively mothballed to allow for external consultations to take place.
