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Bitcoin Exchange CoinTrader.net Acquired for 1.5 Million CAD

Last Updated May 19, 2023 11:26 AM
P. H. Madore
Last Updated May 19, 2023 11:26 AM

16-cointraderlogoNewnote Financial, which is publicly traded (CSE: NEU; OTCQB: NWWTF; FSE: 1W4) on three international stock exchanges on two continents, has acquired Canadian Bitcoin exchange CoinTrader.net. In addition to its trading platform, CoinTrader has Bitcoin ATM machines in London and Tokyo, as well as a point-of-sale system called CoinZero. The deal was made for 1.5 million Canadian dollars in cash and stock, and was confirmed for CCN.com on Thursday morning.

Also read: AllCrypt.com Bitcoin Exchange Goes Down

Founded almost two years ago by Vancouver group Bitcoiniacs, CoinTrader.net is the second-largest Canadian exchange by volume and will now be the first in the world to be traded publicly on three separate exchanges. At time of writing, Newnote stock was trading at $0.15 CDN, ~$0.09 USD and $0.14EUR, respectively.

PureTrade is Now CoinTrader

Acquisitions of solvent assets which expand a company’s operations into new territories have a way boosting a stock’s value. However, 16-puretradenothing is guaranteed. This acquisition, however, goes in line with Newnote’s core business model, and the exchange will be in addition to the Bitcoin gift card and mining businesses already under their control.

It seems that rather than continue the arduous process of developing their PureTrade Bitcoin trading platform, Newnote has decided to acquire the existing CoinTrader exchange. This statement is based on the fact that PureTrade.ca now redirects to CoinTrader.net. This could signal to traders that the company is not apathetic about getting results, but rather willing to take a pragmatic approach to its expansion.

Expanding Business Widely

Vogogo, Inc. will be assisting Newnote in expanding operations of the exchange into all fifty US states, as well as numerous European countries. The exchange already had 10,000 active accounts as of writing with a regular growth of 1000 per month. Providing a new alternative for fiat-to-Bitcoin transactions will inevitably net a great deal of fees for the firm, especially considering the recent influx of US traders as a result of recent announcements on Wall Street such as hedge fund BIT‘s entry on the NASDAQ Exchange.

This move was ahead of other similar moves to be made by the Winklevoss Twins. More firms and interests are expected to make moves into the Bitcoin space as time goes on, which has given the recently depressed market a bullish feeling overall.

16-newnoteNewnote CEO and President Paul Dickson was ecstatic about the news, saying,

“This transaction positions Newnote as the de-facto leader in the crypto-currency space in Canada. Cointrader.net, CoinZero and the ATM network offer our shareholders direct exposure to the primary revenue generators in the digital currency space; it is our mission to deliver on our promise to offer the most innovative products and services available.”

Marketing Budget Exponentially Increased

One of the benefits to CoinTrader.net will be the assets of Newnote, which translates to a massive marketing campaign to come following the announcement. The field of Bitcoin exchanges is already heavily saturated, with one major exchange (BitStamp) far in the lead, so a targeted advertising campaign will be necessary.