Binance Acquires of Transaction Data Platform CoinMarketCap, Aims to Attract Its Users

The largest cryptocurrency exchange Binance announced yesterday it has acquired the cryptocurrency trading data platform CoinMarketCap (CMC), but did not disclose the price. It is rumored to be acquired by cash and stock options, valued at $400 million US dollars. Zhao Changpeng, the founder of Binance, said that CMC has more users than other products in the field of cryptocurrency. Although its ability to absorb gold is not as good as Binance, these users are quite valuable.

CMC is one of the mainstream trading data platforms, which lists the price, trading volume and other information of nearly 5,300 cryptocurrencies in the world, as well as data of nearly 320 exchanges. Many users will use this platform to query cryptocurrencies Market trends. According to Alexa’s website ranking, CMC ranked 570 in the past 3 months, which is higher than Binance’s 1688. According to the announcement, CMC stated that it will operate independently from Binance, and Binance will not interfere with the ranking of cryptocurrencies and exchanges within CMC.

Binance Zhao Changpeng
Zhao Changpeng, founder of Binance Exchange profile picture

In a press release, Zhao Changpeng stated that Binance and CMC share the same values, and both hope to make the entire industry more transparent, and the exchanges and trading data platforms will jointly become infrastructure service providers in the industry. He said in an interview with CoinDesk that this is the largest single transaction since the establishment of Binance, and believes that it can help CMC develop better, and the users on the platform are also quite valuable.

CMC was established as early as 2013 to provide cryptocurrency trading information. Its CMC200 and CMC200EX indexes were also listed on the NASDAQ and Bloomberg platforms in March last year. The market estimates that Binance’s acquisition this time is to use the CMC platform to do more publicity and attract more users to the Binance Exchange.