Latest news with #Swyftx
The Australian
18 hours ago
- Business
- The Australian
Brisbane-based Swyftx will buy Melbourne-based Caleb & Brown
Australian cryptocurrency exchange Swyftx has sealed a mega deal to acquire a US-focused crypto brokerage targeting millionaires in Donald Trump's self-declared 'crypto capital of the planet'. The acquisition is believed to be worth between $100m and $200m. Brisbane-based Swyftx will buy Melbourne-based Caleb & Brown, which has built a business focused on rich US private investors who are increasingly piling into crypto assets after President Trump declared he wanted to make the country the world's crypto capital. Such investors have at least $1m in liquid assets. The acquisition, the largest crypto deal ever in Australasia, comes three months after Swyftx signed a deal to buy Easy Crypto, New Zealand's largest cryptocurrency exchange. Swyftx has successfully emerged from challenges in recent years, chiefly a failed merger in 2022 with rival Superhero to create a wealth management platform administering $1.5bn in cryptocurrency, direct equities and superannuation assets. The same year it sacked 90 staff, equivalent to more than one-third of its employees, amid the brutal downturn in trading volumes following the collapse of US-based crypto exchange FTX. Swyftx chief executive Jason Titman said the deal was 'laser-focused on supporting high rolling crypto investors in the US'. The US accounts for about a quarter of all global trade volumes in cryptocurrency. 'We're entering a golden age for digital assets,' said Mr Titman, who declined to value the deal except to say it was in the 'tens of millions'. 'There are a lot of the new breed of wealthy investors who want a service that is ultra client-centric, with around-the-clock access to broker expertise.' Mr Titman said the election of Mr Trump has sparked surging interest in crypto. 'There has been a 180-degree shift in the US since the Trump administration came in last November in terms of crypto,' he said. Trump's pick of Paul Atkins to head the Securities and Exchange Commission (SEC) is expected to end a crypto crackdown introduced under President Biden. 'High net worth individuals are always sensitive to the regulatory environment and they don't want to be investing money in an asset class that has got some level of government risk,' he said. 'A lot of that political risk was taken out when the Trump administration was elected.' Caleb & Brown, which has more than $2bn of digital assets under custody, was founded by Rupert Hackett and Dr Prash Puspanathan in 2016. It is led by partner Jackson Zeng and employs 64 team members across Australia and the US. Mr Titman said a typical US client had generally made their fortune in traditional industries, such as property or medicine, but wanted exposure to crypto. 'They are understanding that Bitcoin that's gone up 1200 per cent over the last five years and is the fastest growing and a highest asset growth of all time and it is something that they want to participate in,' he said. 'Previously they might have invested in an office building, in equities, maybe some bonds, maybe some Forex currency trading. They have millions of dollars of free investable cash and that's the customer base that we now have access to.' Swyftx, founded in a Brisbane bedroom in 2017 by young entrepreneurs Angus Goldman and Alex Harper, will employ just under 300 team members on completion of the deal. It is now one of the region's largest digital asset brokerages with more than 1.2 million customers. Mr Titman's career, which has spanned accountancy, hotel development and e-commerce, said Swyftx was moving beyond its start-up roots into the corporate big league or what he termed from 'hoodies to suits'. Mr Titman said he expected to see a collection of cryptocurrencies, known as stable coins, eventually replacing traditional cash for investment and trading. He said Swyftx was looking at several other acquisitions. 'There is a larger plan coming together here for Swyftx. Part of it's organic, part of it's partnerships and part of it's mergers and acquisitions,' he said. 'This is our second transaction after Easy Crypto and it is about getting a different customer base. It also fast tracks our move into the US, which I've been interested in doing for some time.' Read related topics: Donald Trump Glen Norris Senior Business Reporter Glen Norris has worked in London, Hong Kong and Tokyo with stints on The Asian Wall Street Journal, Bloomberg and South China Morning Post. Economics The message from business to Anthony Albanese's challenge is not to overcomplicate the process, but there has to be a real appetite for change. Business Business leaders have demanded Anthony Albanese delivers a broad reform package at August's roundtable. 'Of course the PM should be worried … Why would we want to be the 15th or the 16th or the 17th of anything?' asked Paul Schroder.
Techday NZ
3 days ago
- Business
- Techday NZ
Swyftx acquires Caleb & Brown to target wealthy US investors
Swyftx has entered into an agreement to acquire US-based crypto brokerage Caleb & Brown in a move targeting high-net-worth investors in the United States. The acquisition follows Swyftx's earlier purchase of New Zealand crypto exchange Easy Crypto, as the group continues its recent expansion across markets in Australasia, North America, and beyond. Major acquisition According to Swyftx, the transaction constitutes the largest crypto acquisition in Australasian history and signals the group's ambition to address the needs of affluent digital asset investors, particularly in the United States, where the company seeks to access the world's largest crypto market. Jason Titman, Chief Executive Officer of Swyftx, highlighted the strategic nature of the acquisition and noted its intended impact on both the US and New Zealand markets. He said high-value customers currently represent approximately 30 percent of Easy Crypto's user base in New Zealand, but are responsible for about three-quarters of total trading volumes. Titman reported a significant increase in high-net-worth activity: "Titman says they have recorded a 25 percent increase in wealthier clients over the past year, signalling strong and growing demand for tailored crypto services." "What we know about this segment of the market is that they're often older, looking for more than just low fees and they're not interested in crypto's meme-culture. "Many of them are business owners or professional investors who are used to personalised financial services. This acquisition gives us the platform and expertise to meet those expectations. "Caleb & Brown has quietly established one of the most impressive brokerage offerings in the world, with a heavily differentiated private client service. We see enormous growth potential. "Swyftx has the resources to build on Caleb & Brown's competitive advantages and peel off high net worth clients from the largest exchanges. There are polished and well-respected platforms operating in the US but a lot of the new breed of wealthy investors want a service that is ultra client-centric, with round-the-clock access to broker expertise. It is the kind of relationship management they get in traditional finance. "Over the next couple of years, we'll look to significantly grow Caleb & Brown's network of relationship managers so that we can target more wealthy clients from the big US exchanges on their home turf. We see this as an underserved market," he says. Expanding global reach Titman described the deal as "the largest crypto acquisition in ANZ history" and said that it "gives Swyftx access to the world's leading digital assets market at a time when the US has sought to position itself as the 'crypto capital of the planet'. The US currently accounts for around a quarter of all global trade volumes in cryptocurrency." Swyftx has expanded significantly in recent years, now serving over 1.2 million customers across the group. The acquisition of Caleb & Brown will extend Swyftx's reach to Australia, New Zealand, South Africa, and the United States, with the group projected to employ just under 300 staff members upon deal completion. Caleb & Brown background Caleb & Brown, established by Rupert Hackett and Dr Prash Puspanathan in 2016, provides crypto brokerage, asset management, and research services to private clients across the US and Australia. The company reportedly oversees over AUD $2 billion in digital assets and employs 64 team members between Australia and the United States under the leadership of Equal Partner and Chief Executive Officer, Jackson Zeng. Zeng commented on the significance of the acquisition and its alignment with the company's approach to client service: "We're excited to join the Swyftx Group. It is the fastest-growing exchange in the ANZ region and shares our client-centric approach." "This deal is a testament to the strength of our brokerage and its differentiated offering. Swyftx has the resources to help us scale faster, diversify our product offering and expand our geographic reach," he says. The acquisition places Swyftx among the largest players in the region's digital asset brokerage sector, with strengthened capabilities to serve high-net-worth individuals seeking bespoke crypto services across multiple continents. Follow us on: Share on:
