Crypto M&A Deals Set to Soar to $30bn in 2025 Amid Surge in Traditional Firms Entering the Space

Crypto mergers and acquisitions (M&As) are on pace to reach $30 billion in 2025, with over 200 deals worth almost $20 billion announced this year. The number of deals is expected to reach nearly 400, up from 190 last year. Traditional financial services firms are increasingly entering the crypto space due to supportive government policies and regulatory clarity, making payments, custody, and market infrastructure firms prime acquisition targets.

The crypto mergers and acquisitions (M&A) market is experiencing a significant surge in 2025, with the total value of deals expected to reach $30 billion, up from $2.8 billion in 2024 [1]. Over 200 deals worth almost $20 billion have already been announced this year, and the number of deals is projected to reach nearly 400 by the end of the year, according to Karl-Martin Ahrend, co-founder of crypto M&A firm Areta [1].

The surge in crypto M&A activity is driven by traditional financial services firms expanding their footprint in the digital asset space. Regulatory clarity and supportive government policies, both in the US and Europe, are encouraging these firms to invest in crypto projects. For instance, the US government's growing pro-crypto stance and the EU's MiCA regime are pulling banks, card networks, and fintechs into the crypto market [1].

Payments, custody, and market infrastructure firms are emerging as prime acquisition targets. Additionally, crypto-native firms like Coinbase are executing add-ons to scale globally and diversify earnings beyond spot volume. The record public-market valuations and the return of later-stage financing have bolstered bigger businesses' acquisition spree [1].

High-profile deals this year underscore this momentum. For example, Kraken snapped up Breakout, a proprietary trading firm with performance-based services, and Coinbase finalized its acquisition of Deribit, the world's largest crypto options exchange, in a $2.9 billion transaction [1]. These deals reflect a shift from smaller, opportunistic acquisitions to more strategic, large-scale deals.

The crypto market's rapid evolution and the potential for significant growth are driving these acquisitions. Firms are opting for the purchase route rather than building crypto teams and products internally, as it allows them to enter the market quickly and with less risk [1].

As the crypto market continues to mature, the number of deals and their value are expected to grow. The industry is still in its infancy, but it is evolving rapidly, with strong tailwinds driving its growth. The acquisition of Nordark by Hilbert Group AB is a prime example of this trend, with Hilbert Group positioning itself as Europe's leading full-stack digital finance platform [3].

References:
[1] https://www.dlnews.com/articles/markets/crypto-acquisitions-seen-to-double-in-2025/
[2] https://www.barchart.com/story/news/34520709/this-trump-backed-crypto-starts-trading-on-september-1
[3] https://finance.yahoo.com/news/hilbert-group-acquires-100-fast-062000964.html