Coinsquare and WonderFi May Merge to Create Canada’s Largest Crypto Exchange

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Coinsquare and WonderFi might merge and create Canada’s largest crypto exchange

Coinsquare Ltd. and WonderFi Technologies are in advanced talks to merge and become Canada’s largest cryptocurrency exchange.

According to a Bloomberg Jan. 12 report, the conversion is in the early stages. There is no guarantee that a settlement will be reached.

WonderFi continued by saying that the business plans to talk further once an agreement is reached and there is a transaction to report officially. Coinsquare officials also declined to comment.

As a result of the merger rumors, WonderFi’s share price has increased by almost 30% in the past day.

Coinsquare and WonderFi May Merge to Create Canada's Largest Crypto Exchange - 1
WonderFi share price. Source: Google Finance

If the merger eventually goes through, there will be around 1.15 million users between the two exchange providers.

According to Bloomberg, WonderFi reported about 650,000 customers and $258 million in funds under control in November, while privately held Coinsquare reported about 500,000 users.

To comply with the country’s current regulatory requirements, in October Coinsquare became the first local crypto business to join Canada’s top self-regulatory body, the Investment Industry Regulatory Organization of Canada (IIROC).

The announcement of a possible merger between the two exchanges comes just days after Coinsquare terminated its contract to purchase all outstanding shares of its rival CoinSmart. The contract announced in September brought Coinsmart $3 million in cash and more than $26 million in Coinsquare shares.

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