Circle Acquires Digital Currency Exchange Poloniex Hoping to Further the Token Economy
In a move that it claims will accelerate the “emerging token economy,” Circle announced today that it has acquired Poloniex, the large U.S. digital currency exchange.
Circle is a peer-to-peer payments company which launched a Blockchain-based remittance and messaging application in 2016. As part of its overall mission to serve as a “next generation” blockchain service, Circle’s 2016 initiative aimed to let those without bank accounts participate in the economy.
Having previously secured funding from a large array of investors like Goldman Sachs, Accel Partners, and Baidu, Circle is one of the largest players operating in the blockchain space. As a result, its decision to acquire Poloniex marks the emergence of what could become one of the industry’s leading companies moving forward.
Acquiring Poloniex, furthering Circle’s “mission”
“We’re proud to announce that Circle has extended its commitment to a new vision for global finance by acquiring Poloniex, a leading token exchange platform,” said Circle, in a February 26th, 2018 blog post.
Circle further added that it is on a “mission to make it possible for everyone, everywhere to create and share value,” explaining that the company’s decision to acquire Poloniex is the next step in its overall mission.
“Now Poloniex addresses another key element of Circle’s product foundation: An open global token marketplace,” it said. “We’re thrilled to welcome the Poloniex team and customers. Created by a team of crypto visionaries, Poloniex has grown to become one of the world’s leading token marketplaces.”
For Poloniex customers, Circle assured that it will “commit to maintaining the features and services” that the platform is known for, adding that the company looks forward to scaling the platform in the future.
An industry up-for-grabs
Circle stated that it intends to grow Poloniex beyond its current function as a digital currency exchange, hoping to create a “robust multi-sided distributed marketplace” that hosts tokens representing anything and everything of value.
The company also expressed the possibility of bringing the features of its flagship products to the platform, exploring potential ‘connectivity’ between fiat currencies like the British pound, Euro, and the U.S. dollar.
Overall, the move is reflective of the growing relevance of the industry as a whole. As major players consolidate their power and aim to provide solutions for the ever-changing market, it’s clear that companies are in a race to claim a slice of the billion dollar industry as their own.
Image credit: Circle Financial logo
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