![Coindesk acquires Bitcoin Analytics Firm TradeBlock](http://bitcoinworld.co.in/wp-content/uploads/2021/01/Coindesk-acquires-Bitcoin-Analytics-Firm-TradeBlock-1024x536.png)
CoinDesk acquires a crypto market index provider and data firm, TradeBlock. The deal, announced on Tuesday, will witness TradeBlock, which earlier raised funds from the likes of A16z and Digital Currency Group, to become a wholly-owned subsidiary of CoinDesk, which is itself a subsidiary of DCG. However, the details of the deal are still not disclosed. Operational since 2013, TradeBlock and its founders later developed Axoni, a firm that concentrates on distributed ledger applications in capital markets. TradeBlock raised $2.8 million in 2014.
TradeBlock offers institutional trading tools for digital currencies. CoinDesk strives to include TradeBlock data on-site from now on to satisfy the rising need for crypto analytics. Digital Currency Group (DCG), CoinDesk’s parent company, has funded in TradeBlock in the past. Grayscale Investments, which oversees the Grayscale Bitcoin Trust, is a wholly-owned subsidiary of DCG.
TradeBlock to provide reference rates for enhanced transparency
Moreover, TradeBlock will offer reference rates to clarify pricing and introduce more transparency in the crypto space. This denotes CoinDesk’s first entrance to the globe of data products. This will permit both firms to hold TradeBlock’s existing obligation to data security and confidentiality for its customers and protect CoinDesk’s journalism’s integrity in keeping with the independence guidelines. The complete TradeBlock team will remain with the company in the purchase.
The acquisition occurs as bitcoin reaches new highs, albeit with significant volatility. As for the CoinDesk-TradeBlock deal rationale, with bitcoin growing through the roof, pricing data becomes more crucial. The recent bull run in BTC has pushed demand for more advanced tools in the crypto industry. Bitcoin price has surmounted over four times higher from the beginning of 2020. Moreover, a growing number of mainstream financial traders are joining the space. Significant companies such as PayPal and MicroStrategy have combined or funded BTC in current months. Thus, helping bitcoin to drive upward. The S&P Dow Jones Indices newly declared plans to launch its Bitcoin index this year, suggesting that institutional finance now views Bitcoin as a serious financial asset.
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