Paxos Acquires DeFi Wallet Startup Fordefi for Over $100M
Paxos, a leading blockchain infrastructure firm, has agreed to acquire Fordefi, a New York–based DeFi wallet startup, for more than $100 million. Founded in 2021, Fordefi employs around 40 people and serves roughly 300 corporate clients; it was last valued at $83 million. Post-acquisition, Fordefi will operate independently while Paxos integrates its wallet technology into its own platform. This marks Paxos’s second major acquisition within a year, following its February purchase of EU stablecoin issuer Membrane Finance to ensure MiCA compliance. The deal strengthens Paxos’s DeFi wallet capabilities and underscores growing consolidation in the crypto infrastructure sector.
Bullish
By acquiring Fordefi, Paxos bolsters its DeFi wallet infrastructure and reinforces its strategic expansion in the crypto custody sector. Similar acquisitions by major players have historically generated positive sentiment and enhanced platform adoption. Although the immediate market reaction may be muted due to a lack of direct token issuance, the strengthened technology stack and regulatory compliance position Paxos for long-term growth. This suggests a bullish outlook as traders anticipate improved service offerings and potential upticks in related stablecoin usage.