Coinbase To Buy Bitcoin Startup Earn.com In Biggest Acquisition Yet
Coinbase, a popular digital currency exchange headquartered in San Francisco, is in talks to purchase Earn.com. While no deal has still been struck, the news follows their March announcement about them hiring Emilie Choi, the former head of mergers and acquisition at LinkedIn, to serve as their VP of corporate and Business developments. It seems the obvious course of action for Choi to be going after this acquisition since Earn.com markets itself to be the next LinkedIn.
Earn.com had rebranded last year from 21.co with the launch of its eponymous paid messaging platform. Now they function as a two sided marketplace that enables users to earn digital currencies by fulfilling microtasks. Tasks can vary from filling digital surveys, labeling images or referring new users to the platform. They operate as a social network enabling its users to have public profiles and interact with other users on the platform. They have a goal to decentralize this network allowing each person to join the project and earn digital currencies for their micro tasks.
Earn.com’s CEO, Balaji Srinivas, has prospective in joining Coinbase under the terms of the deal but none of the parties has confirmed this news till now. They are in talks with multiple parties about the potential acquisition, with many suitors being household names.
This deal will send Coinbase back more than $30million USD but that shouldn’t be much of a stretch for them as they have raised close to $250million USD in previous years. However, if the deal goes through Earn.com will be their biggest acquisition yet.
Coinbase had gotten significant negative press when their customer complained jumped more than 100% in January 2018, with over 400 complaints of those categorized as “money was not available when promised.” The news of acquisition should help them boost their public perception again.