This Tuesday (18), BXM Operations AG, created by executives at cryptocurrency exchange BitMEX, announced plans to acquire Bankhaus von der Heydt, a German bank that has been in existence for 268 years.
The acquisition of the Munich-based bank still needs to be approved by Germany’s Federal Financial Supervisory Authority (or BaFin, for short in German) and is expected to be finalized later this year, BitMEX said in a statement. Publication.
Financial details of the deal, signed by Dietrich von Boetticher, current owner of Bankhaus von der Heydt, were not disclosed.
According to the announcement, Bankhaus von der Heydt will continue to operate as a separate business when the deal is finalized and Alexander Höptner and Stephan Lutz, BitMEX’s chief executive and financial officers, will join the bank’s supervisory committee.
“Germany, as the largest economy in Europe, combines an innovative approach to digital assets with strong regulatory oversight and the rule of law – making it an excellent market for BitMEX to expand into Europe,” said Stephan Lutz.
Bankhaus von der Heydt was created in 1754 and became one of the first regulated financial institutions in Germany to offer cryptocurrency services.
The bank joined to crypto technology provider Bitbond to issue a euro-backed stablecoin on the Stellar blockchain in December 2020, followed by a partnership with Fireblocks in October 2021 to expand its offerings to cryptocurrency banking, securitization and finance.
BitMEX’s ambitions in Europe
According to BitMEX, the acquisition of Bankhaus von der Heydt will help it “achieve the ambitious goal of establishing a one-stop shop for regulated crypto products in Germany, Austria and Switzerland.”
Today’s announcement follows the launch of BitMEX Link, a Swiss cryptocurrency brokerage house that features spot, structured products and over-the-counter (or OTC) trading.
“By combining Bankhaus von der Heydt’s regulated crypto expertise with BitMEX’s crypto innovation and scale, I believe we can create a powerhouse of regulated crypto products in the heart of Europe,” added Alexander Höptner.
BitMEX’s latest move certainly makes sense given the company’s complex relationships with regulators in the past.
Founded in 2014, BitMEX was once one of the biggest names in the crypto industry and one of the first exchanges to offer derivative products such as futures contracts.
However, the company was a major target of regulators, as the Commodity Futures Trading Commission (or CFTC) and the Financial Crimes Combat Network (or FinCEN) accused BitMEX of intentionally circumventing US laws.
The case was closed in August 2021 after BitMEX agreed to pay $100 million to drop the charges.
However, there is an ongoing criminal case against former BitMEX executives, including former CEO Arthur Hayes, who will be judged in March this year along with co-founder Benjamin Delo and former chief technology officer Samuel Reed.
*Translated and edited by Daniela Pereira do Nascimento with permission from Decrypt.co.