Coinbase, a US-based digital currency exchange provider, has acquired crypto trading platform Paradex for an undisclosed sum.
Built on the 0x protocol, Paradex does not hold tokens on behalf of its users but instead allows investors to trade hundreds of ERC20 tokens directly from their digital wallets.
Commenting on the deal, Paradex said: “It was clear from our first conversations with Coinbase that the excitement and optimism was mutual. Like Coinbase, we believe wholeheartedly in the power of an open financial system; it’s paramount to what we’re working towards at Paradex.
“In our next steps together, we’ll continue to build out the existing Paradex roadmap and continue to explore the world of decentralisation and the amazing opportunities at hand.”
On the other hand, Coinbase serves as a custodian for digital assets on its exchange. The firm currently brokers exchanges of Bitcoin, Bitcoin Cash, Ethereum and Litecoin with fiat currencies.
Coinbase co-founder and CEO Brian Armstrong said: “The move not only reinforces Coinbase’s commitment to investing in decentralised infrastructure and participating in the nascent world of wallet-to-wallet trading, but also our focus on the international crypto trader.
“After making some product enhancements, we’ll initially offer this experience to customers outside the U.S., and eventually to U.S.-customers.”