Coinbase has ended negotiations to acquire London-based stablecoin infrastructure startup BVNK, abandoning what had been reported as a roughly $2 billion transaction. Both companies confirmed the talks reached exclusivity in October but said they mutually agreed not to proceed during the due diligence phase.
What happened
According to reporting, Coinbase and BVNK entered an exclusivity arrangement in October and then conducted due diligence on the proposed deal. Sources indicate the discussions were in late-stage talks when the firms decided to halt the process; a Coinbase spokesperson told reporters the parties “mutually agreed to not move forward.” Neither company disclosed detailed reasons for the breakdown.
Possible reasons and market context
- Reports suggest the decision came during routine due diligence rather than as the result of one clear, public event—a common outcome for large, cross-border fintech deals where regulatory, commercial, or technology gaps surface late in the process.
- Industry observers note the timing comes as major crypto firms race to build out stablecoin and payments infrastructure; walking away could reflect valuation differences, regulatory uncertainty, or strategic reprioritization at Coinbase.
- BVNK—which provides payment rails and stablecoin-native infrastructure for institutions—may attract other bidders now that exclusivity has ended, analysts say.
Reaction and implications
The collapse of the deal is a setback for Coinbase’s publicly stated effort to expand its stablecoin and payments capabilities through acquisitions and product launches. For BVNK, the end of exclusive talks returns the company to the marketplace at a time when stablecoin infrastructure is in high demand—but it also raises questions about valuation expectations and regulatory fit for potential acquirers.
What to watch next
- Whether BVNK pursues alternate buyers or strategic partners now that exclusivity has lapsed.
- Any further commentary from Coinbase or BVNK clarifying the specific issues uncovered during diligence.
- Regulatory signals in the U.S. and U.K. that could affect the attractiveness or timing of large stablecoin-related deals.
Industry coverage and filings may provide more detail if either company chooses to elaborate. For now, both parties have framed the decision as mutual and did not release further terms.