BitMEX’s Deal of 250-Year Old German Bank’s Acquisition Fails

Key Insights:

• BitMEX’s acquisition of German Bank Bankhaus von der Heydt has failed.
• An official cause of the dissolution is yet to be revealed.
• The cryptocurrency exchange will soon be discussing its plans to expand into Europe.

As reported by German media today, the sale of the bank Bankhaus von der Heydt fell through. While the announcement cited no reason for the development, the German CEO of BitMEX, Alexander Höptner, did confirm the occurrence.

BitMEX Finds Trouble in Europe

About two months ago, as reported by FXEmpire, news of the deal broke when the BitMEX group announced the acquisition of the bank. Through this sale, BitMEX aimed to establish a strong presence in the European market by creating a one-stop shop for crypto products in Germany, Austria, and Switzerland.

However, due to unknown reasons, BitMEX will now have to look into other methods of achieving the same. A spokesperson for the BitMEX group was reported saying,

“Following further discussions between BXM Operations AG [the Swiss subsidiary that was to act as a formal buyer] and the owner of bank von der Heydt, the two parties have mutually agreed not to pursue the proposed takeover further.”

While suspicion around the possible involvement of the Federal Financial Supervisory Authority (BaFin), the financial authority of Germany, persists, no comment was given upon request by the German media.

However, BitMEX group will soon provide information about their plan going forward, as stated by a spokesperson to The Block.

Crypto in a Smooth Sail

The last few days have been particularly happening for the crypto market, during which investors breathed a sigh of relief for the first time in months. The market recovered significantly, led by Bitcoin, which is currently trading at $46,340.

The last two days did notice some bearishness, but it was only natural since Bitcoin was pretty close to reaching into the hyper-bullish overbought zone. Slight correction will set Bitcoin on a path of sustainable rise, hence making the market less vulnerable to unprecedented price swings.