Crypto Trade Bullish Terminates SPAC Merger Deal

Bullish Cancels SPAC Agreement; No New Merger Partner Is Expected

Bullish, a cryptocurrency exchange, announced on Thursday that it has ended its contract with Far Peak Acquisition Corporation (NYSE-FPAC), a Special Purpose Acquisition Company (SPAC). If the deal—which was first announced on July 8, 2021—had gone through, Bullish would have become a cryptocurrency exchange that is listed on the New York Stock Exchange.

“Our quest to become a public company is taking longer than anticipated, but we respect the SEC’s ongoing work to put new digital asset frameworks and clarify industry-specific disclosure and accounting complexities,” Brendan Blumer, chairman and CEO of Bullish, said.

Bullish has received support from notable angel investors such as Peter Thiel, as well as hedge fund heavyweights Alan Howard and Louis Bacon. The exchange began operations in December of last year and is headquartered and licenced in Gibraltar. In certain jurisdictions in Asia-Pacific, Europe, Africa, and Latin America, it offers services to qualified clients and organisations. The exchange handled $857 million in average daily trading in June of this year, according to its most recent investor update.

Thomas Farley, Chairman and CEO of Far Peak, stated, “We’re disappointed that we were unable to present the Bullish transaction to our Far Peak shareholders.” The SPAC will not be looking for a new merger partner and has now decided to wound operations by March 7, 2023.

Farley went on, “Bullish’s daily trading volumes demonstrate their remarkable progress, and their accomplishments since launch have lived up to our expectations.” I have a lot of faith in Bullish’s skilled staff, their vertically integrated exchange liquidity strategy, their steadfast dedication to regulation, and the highest levels of industry openness.”

Not Another SPAC Transaction?

Through the SPAC merger, a number of other cryptocurrency and trading companies have also lately cancelled their plans to go public. This month, stablecoin issuer Circle terminated its agreement with its SPAC partner, after Israel-based eToro withdrew from similar agreements that would have placed the multi-asset broker’s shares on an American exchange.

On March 22, 2022, a 25 billion SPAC deal was revealed. The agreement, which is viewed as an optimistic sign for the cryptocurrency markets, calls for the merging of a cryptocurrency company and an exchange, ending the existence of the former in its original form. It is anticipated that the merger will result in a much-awaited public listing and a spike in daily trading volume, subject to regulatory restrictions.