Crypto Exchange Bullish Announces Termination of SPAC Agreement, Citing SEC Practices

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Bullish, a crypto company that came to public attention in July 2021 for apparently not being clear about the products or services it offered, announced the termination of an agreement to take the company public.

In a Dec. 22 announcement, Bullish said it had reached a mutual agreement with Far Peak Acquisition to no longer merge in a deal for a listing on the New York Stock Exchange. Bullish chairman Brendan Blumer, also CEO of Block.one, cited the work of the U.S. Securities and Exchange Commissions to establish new digital asset frameworks and clarify the complexities of disclosure and accounting specific to the market. industry in the company’s decision not to move forward.

Given time constraints and market conditions, Far Peak does not intend to seek a new merger partner and will instead focus on liquidation either on March 7, 2023, or sooner if possible, Bullish said. .

Up, forward!

Thanks to @ThomasFarley – the most talented leader I’ve had the privilege of working with.

Most importantly, the growth achieved in 2022 by the @Bullish team is incredible, and we are better prepared than ever for our next chapter.https://t.co/A7iLgsuWex

— Brendan Blumer (@BrendanBlumer) December 22, 2022

The original Special Purpose Acquisition Company, or SPAC, agreement signed in July 2021 specified that either company would have the right to terminate the agreement if transactions were not in order. here on December 31. Far Peak Acquisition CEO Tom Farley, former chairman of the New York Stock Exchange, was expected to become Bullish’s CEO if the deal went through.

Bullish was launched in May 2011 after Block.one reportedly provided 164,000 bitcoins (BTC), $100 million in cash and 20 million EOS tokens to the project, with an additional funding round to raise $300 million. However, perhaps due to the fact that the company’s website originally lacked much of the information useful to investors, some crypto users at the time compared the SPAC announcement to a pump. to scam, or Block.one otherwise making a seizure of money.

Related: Crypto-Focused SPAC Raises $115M in Nasdaq IPO

The 2022 bear market could have contributed to the downfall of many SPAC mergers as many regulators and lawmakers seek to crack down on crypto. In July, FinTech Acquisition Corp. V said he mutually ended his SPAC merger with Israel-based crypto firm eToro, after the company went from a valuation of $10 billion to $5 billion in about 12 months. On December 5, stablecoin issuer Circle also announced the termination of its SPAC deal with Concord Acquisition.

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