November 15, 2023
By Sharan Kaur Phillora
In a landmark deal, Foresight Ventures, a Singapore-based fund, has completed the acquisition of the majority shares of The Block, a premier crypto news and data provider, at a valuation of $70 million. This acquisition marks a significant step in the company’s expansion plans, particularly its intended foray into the Asian and Middle Eastern markets.
Here’s what we know:
The Block, established in 2018, has quickly emerged as a key player in the cryptocurrency news sphere, attracting over 3 million monthly readers. The acquisition by Foresight Ventures promises to inject new vitality into The Block, enabling it to expand its team, coverage, and product offerings in the dynamic crypto sector.
CEO Larry Cermak shared his vision for The Block’s future, highlighting plans to introduce exciting new products and extend the company’s global footprint. This deal comes after a period of internal restructuring at The Block, which included a leadership overhaul and significant staff reductions.
In March, the company laid off about a third of its workforce, amounting to 27 staff members. These changes culminated in Cermak, previously the head of research, ascending to the CEO position.
The acquisition also addresses past controversies surrounding The Block. Former CEO Mike McCaffrey resigned in late 2022 following revelations that the company had been secretly received funding from Alameda Research, owned by crypto entrepreneur Sam Bankman-Fried.
This disclosure led to a comprehensive review of The Block’s funding and operations, resulting in the recent changes and the ultimate sale of the majority stake.
Tim Copeland, editor-in-chief of The Block, expressed optimism about the acquisition, anticipating a stronger platform for the company’s news, research, and data services. The bulk of the acquisition funds were allocated to buy out McCaffrey’s share in the company, paving the way for this new chapter.
This acquisition by Foresight Ventures not only provides The Block with financial stability but also positions it to leverage its new strategic connections to broaden its reach and impact in the rapidly evolving crypto industry
About the author
Sharan Kaur Phillora’s thirst for knowledge has led her to study many different subjects, including NFTs and Blockchain technology – two emerging technologies that will change how we interact with each other in the future. When she isn’t exploring a new idea or concept, she enjoys reading literary masterpieces.
