Toronto’s Wellfield Technologies (TSXV:WFLD) is acquiring Israel-based Coinmama for CAD $3 million in cash and 22 million shares. The acquisition will give Wellfield the largest user base out of any publicly traded DeFi company.
Founded in 2013, Coinmama has built a global platform for millions of buyers and sellers of digital currencies using everyday payment methods.
Coinmama currently has more than 3.5 million registered users, each of which has undergone regulatory verification and transacted on the platform. Coinmama generated USD $130+ million in sales and over USD $5.8 million in gross profit in 2021.
Coinmama will integrate Wellfield’s Seamless branded DeFi protocols into its current platform. This will enhance monetization of Coinmama’s more than 3.5 million registered users by expanding from a single offering, transaction-oriented model to a multi-product, recurring revenue business that leverages DeFi protocols and self-custody.
Wellfield’s MoneyClip branded DeFi app will integrate Coinmama’s regulatory, banking and operational infrastructure to expedite its expansion with significantly less capital investment.
“We have followed Coinmama’s pioneering journey as an early blockchain business for some time and are confident that their nearly decade of success in the sector and proven regulatory and operations expertise will bring significant value to Wellfield,” commented Levy Cohen, CEO of Wellfield.
“We expect this transaction to generate substantial synergies for the company. Following the transaction, Wellfield will be positioned with all of the attributes required to achieve its mission to scale next generation financial applications powered by blockchain technology: robust decentralized protocols, verifiable and secure credentialing, established regulatory and banking infrastructure, and a scalable consumer facing DeFi application.”