A Luxembourg-based Bitcoin exchange Bitestamp has been acquired on Monday, as reported by the company.
NXMH, private equity and investment firm based in Brussels, bought the company for a rumored amount of around $400 million. The exact financial details of the deal were, however, not disclosed. NXMN has also previously bought Korbit, a South Korean cryptocurrency exchange.
Bitstamp was founded by Nejc Kodrič, 29-year-old Slovenian native, in 2011 with just 1,000 euros. In the next 7 years, it has risen to become one of the largest crypto exchanges in the world, raising capital from the likes of Pantera Capital and other prominent investors.
In an interview to Fortune, Kodrič told that nothing will change for the customers and employees.
“We have kind of the same opinion as NXMH—why change something if it works perfectly well?” he said, adding that Bitstamp “has been profitable from almost day one.”
He also denied rumors of a merger between Bitstamp and Korbit, although approved plans for sharing technology between the two. “We’ve talked about it, but we decided to keep the companies running separately,” Kodrič said.
A total of 4 companies have been in the process of bidding for Bitstamp since mid-2017. The deal was struck last December, just when the price of Bitcoin reached an all-time high around $20,000. The rest of 2018 has been spent in attempts to receive regulatory approval for the acquisition, according to Kodrič.
“We were not looking to sell,” he said. “We were definitely not looking for investment because we didn’t need to raise the capital.” Still, Kodrič took the opportunity to cash out the majority of his stake in the company—he retains 10% of Bitstamp’s shares—as he saw in NXMH a likeminded partner.
“We were very much aligned—where we see the industry going and what the company wants to be,” he said. “They’re willing to help us along the way, and help us with our global expansion.”