Crypto firm Fireblocks has bought stablecoin and digital asset payments technology platform First Digital, marking its first ever acquisition.
Financial details of the deal were not disclosed by the companies. However, Fireblocks is said to have paid $100m for the purchase, according to a Reuters report, citing sources aware of the deal.
Founded in 2017, First Digital offers API-based stablecoin payment solutions, along with execution of transaction and treasury management, and compliance.
It enables merchants working with supported payment service providers (PSPs) to accept crypto payments with the option to settle the funds in both local currency and crypto.
The deal is expected to help Fireblocks expand its payment offerings by enabling PSPs and acquirers to receive payments and pay out in digital currencies.
Furthermore, it will help the firm bolster its stack of tools that integrates digital asset treasury operations with everyday financial activities.
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Fireblocks said that it will integrate First Digital into the Fireblocks tech stack to enhance support for B2B, B2C, cross-border, and other payments through stablecoins and cryptocurrencies this year.
The deal follows a recent partnership between the two companies to facilitate peer-to-peer (P2P) and peer-to-merchant (P2M) transactions.
Fireblocks co-founder and CEO Michael Shaulov said: “We’re thrilled to welcome First Digital to the Fireblocks family as we accelerate our expansion plans to help every business become a crypto business. We’re pushing ‘fast forward’ to give PSPs the suite of tools they need to begin accepting crypto payments.”
As part of the deal, First Digital CEO Ran Goldi is named as vice president of Payments at Fireblocks.
First Digital team, who will join Fireblocks’s engineering staff, will lead the integration between First Digital payments platform and the Fireblocks direct custody platform.
Goldi said: “This is an exciting opportunity for the First Digital team based on a proven, successful partnership with Fireblocks.
“We believe that payments should be a core functionality for all fintech apps, and via Fireblocks’ platform, we will make it available to the world at scale.”
Last month, Fireblocks raised $550m through a Series E funding round, bringing its valuation to $8bn.