Coinbase acquires token operations startup Liquifi in fourth acquisition this year

Coinbase has bought Liquifi, a San Francisco-based firm that automates token vesting, distribution, and compliance for crypto startups, in the U.S. exchange’s latest mergers and acquisitions push.

Acquiring Liquifi will help Coinbase build an end-to-end issuance stack to ease the process of launching a token, which often involves tangled liquidity and regulatory hurdles, Greg Tusar, VP of Institutional Product, noted in a Wednesday announcement.

“Liquifi solves these pain points by automating core workflows while reducing token launch risk,” Tusar wrote. “This acquisition will enable us to partner more effectively with builders earlier in their lifecycle – before tokens are launched or listed.” Coinbase said it would integrate Liquifi’s product suite into Coinbase Prime over time, providing corporate clients with a single venue to issue, custody, and service digital assets.

Founded in 2021, Liquifi reportedly raised over $5 million in 2022 from investors like Dragonfly Capital and crypto bigwigs like Haun Ventures founder Katie Haun and Andreessen Horowitz general partner Balaji Srinivasan. The company says it oversees more than $8.5 billion in token value for over 100 customers, including the Uniswap Foundation, OP Labs, and Ethena. It claims it processed $1.7 billion in global token payouts last year.

Financial terms of Liquifi’s purchase were not disclosed, but the deal marks Coinbase’s fourth takeover this year. That’s compared to its three acquisitions total in 2024. The deal extends Coinbase’s M&A streak following its record $2.9 billion Deribit acquisition announced in May. America’s largest publicly traded crypto exchange also acquired blockchain-native advertising firm Spindl and Iron Fish, a privacy-centric network.

Coinbase stock closed 4% down on Tuesday, and traded around $340 per share in Wednesday’s pre-market hours, according to Yahoo Finance data.