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CoinMarketCap acquisition of CoinDesk now on hold

CoinMarketCap’s acquisition of cryptocurrency news site CoinDesk is on hold, reports Jon Rice of Blockworks.

Binance Capital Management is the majority owner of CoinMarketCap

Rice reports, “One source told Blockworks last month that initial talks between CoinDesk and Binance broke down, as the exchange anticipated a mass exodus of journalists from the news company if it became the majority owner.

“A different source explained that Binance had considered an acquisition through a blind trust, but that talks had ‘moved past’ this notion over the last two weeks. However, they said, talks were resuscitated by Binance Capital Management, with the focus on using CoinMarketCap as the acquisition vehicle. Those talks were described by the source as ‘on the backburner’ over the last week, a characterization confirmed by a second source.

“According to one source, Binance considers CoinDesk a ‘significant force for good’ in the cryptocurrency industry, but they noted that an investment in the company would be primarily driven by the fear that other investors might not step in to save the news outlet.”

Read more here.

Chris Roush

Chris Roush was the dean of the School of Communications at Quinnipiac University in Hamden, Connecticut. He was previously Walter E. Hussman Sr. Distinguished Professor in business journalism at UNC-Chapel Hill. He is a former business journalist for Bloomberg News, Businessweek, The Atlanta Journal-Constitution, The Tampa Tribune and the Sarasota Herald-Tribune. He is the author of the leading business reporting textbook "Show me the Money: Writing Business and Economics Stories for Mass Communication" and "Thinking Things Over," a biography of former Wall Street Journal editor Vermont Royster.

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