Coinbase has made a strategic acquisition of the cryptocurrency investment platform Echo for approximately $375 million in cash and stock.
Echo offers an on-chain platform that empowers founders to raise funds directly from their communities through private sales or by self-hosting public token sales via its Sonar tool. Coinbase anticipates that integrating Echo’s capabilities will enhance community engagement, facilitating entirely on-chain projects that connect developers with capital. Since its inception, Echo has successfully enabled projects to raise over $200 million across roughly 300 transactions.
“Initially, our focus will be on crypto token sales using Sonar, but we aim to expand our offerings to include tokenized securities and real-world assets in the future, taking advantage of Echo’s infrastructure,” stated Coinbase in a blog post about the acquisition.
Furthermore, Coinbase highlighted that Echo complements its recent acquisition of Liquifi, which simplifies the processes of token creation and cap table management for emerging teams. “While Liquifi has enhanced our support for startups from their inception, Echo broadens that support into the realm of fundraising,” the company noted.