European investment firm NXMH acquires bitcoin exchange Bitstamp

Leading crypto exchange Bitstamp has just confirmed its acquisition by NXMH, a Belgium-based investment company.

In an online post, Bitstamp said that it will retain its brand name following the acquisition, adding:

“We do anticipate that this acquisition will strengthen Bitstamp’s positioning for growth, which will provide opportunities to better serve our customers. Customers should not have any concerns about their accounts or changes to the way we operate.”

Reuters reported that the all-cash deal was signed on October 25. NXMH has acquired an 80 percent stake in Bitstamp. The exchange’s CEO Nejc Kodrič will retain a 10 percent ownership interest and will continue as CEO.

Pantera Capital Management, which made an investment of $10 million in Bitstamp in 2014, sold part of its stake to NXMH. CoinDesk reported that Pantera Capital will retain a 6 percent ownership stake in the exchange.

The deal also saw Bitstamp co-founder Damian Merlak selling his entire 30 percent stake in Bitstamp, Kodrič told Reuters, adding that he has not been active since 2015.

Notably, NXMH is a subsidiary of South Korean conglomerate NXC, which owns South Korean cryptocurrency exchange Korbit. Bitstamp and Korbit will operate independently.

"Bitstamp is one of the oldest and most-respected cryptocurrency exchanges and we see positive growth potential as the industry continues to evolve ... We acquired Bitstamp because we see it as a strategic, long-term investment,” NXMH investment manager Hendrik Ghys said (as quoted by CoinDesk).