United Fintech, a company focused on acquiring capital markets fintech businesses, has announced the acquisition of Cobalt, a provider of risk and data services for the FX and digital asset markets. The financial terms of the deal were not disclosed.
Founded in 2015, Cobalt offers a core shared ledger infrastructure that facilitates foreign exchange trading and digital asset transactions for banks. The platform employs “blockchain-derived concepts” to establish a unified view of each transaction, eliminating the need for reconciliation across disparate systems.
Cobalt boasts an impressive client base, including leading banks such as Deutsche Bank, Citi Bank, Barclays, BNP, Natwest, ABN Amro, and Standard Chartered Bank.
Following the acquisition, Cobalt will operate independently under its existing leadership, while United Fintech CEO Christian Frahm will take on the role of chairman.
Launched in 2020, United Fintech aims to build a portfolio of capital markets fintechs and support them in marketing their products and services to major financial institutions. Cobalt marks the fifth acquisition for United Fintech, following FairXchange, TTMZero, Athena Systems, and NetDania.
Frahm stated, “Foreign Exchange is a core part of a bank’s infrastructure today. I am convinced that digital assets will play a crucial role as an asset class in sophisticated money management. Financial institutions will require a high level of expertise to succeed in the upcoming digital banking era. Cobalt’s technology enhances United Fintech’s global offerings, and I am excited about the next phase of our growth together.”