Lucy Jane 
merges with Coinsquare, CoinSmart
The Canadian firms WonderFi Technologies Inc., Coinsquare Ltd., and CoinSmart Financial Inc. have announced their merger to create Canada’s largest regulated trading platform for crypto assets, with over 1.65 million registered users.
The newly merged company will provide Canadians with a diverse array of products and services, such as retail and institutional crypto trading, staking products, business-to-business crypto payment processing, sports betting, and gaming.
According to the announcement, the newly merged company “will have transacted over $17 billion since 2017 and have over $600 million in assets under custody.”
The merged company intends to diversify its revenue potential by expanding its product offerings, which are anticipated to appeal to a broader customer base. Upon completion of the merger, it is anticipated that the combined company will have at least $50 million in cash and investments and no outstanding debt.
“With the combination of Coinsquare and CoinSmart, we will deliver a unique platform where users can trade, earn, and pay with cryptocurrencies, invest in equities, and soon place bets, all within a compliant ecosystem,” stated WonderFi president and interim CEO Dean Skurka.
CoinSmart, a cryptocurrency exchange founded in 2018, was acquired by Coinsquare for an undisclosed sum in September 2018. In October, Coinsquare became the first cryptocurrency exchange to be registered as a dealer with the Investment Industry Regulatory Organization of Canada (IIROC). Coinsquare is required to report its financial status and maintain adequate capital under IIROC regulations. In exchange, the Canadian Investment Protection Fund safeguards client accounts in the event of insolvency.
WonderFi, a company backed by Kevin O’Leary, confirmed in January that it was in merger talks with Coinsquare. At the time, WonderFi clarified that the negotiations were in their infancy and that there was no assurance that a deal would be reached.