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Coinme Acquired by Polygon Labs to Build its Open Money Stack
Coinme Acquired by Polygon Labs to Build its Open Money Stack

Transaction Overview
On January 13th, 2026, Polygon Labs announced it intends to acquire Coinme, a regulated crypto-as-a-service provider. Simultaneously, Polygon also announced the acquisition of Sequence, enabling payment flows across blockchain networks. Both acquisitions help build a fully integrated, rules-compliant stablecoin payments system – Poygon’s Open Money Stack.

Target: Coinme
Founded in 2014 and headquartered in Seattle, Coinme is a U.S.-regulated digital asset payments company offering crypto-as-a-service and stablecoin and crypto payment infrastructure for enterprises, fintechs, wallets, and payment applications.

Coinme is licensed and operates in 48 U.S. states, as well as Puerto Rico, and has built systems designed to handle fiat-to-crypto and stablecoin payments at scale while meeting U.S. regulatory requirements.

Coinme provides capabilities that partners integrate into their products. These capabilities, delivered as a set of APIs or SDKs, include KYC, payments by debit card, bank transfer, or cash, converting between fiat and crypto, trading, and custody, so partners can offer end-to-end crypto and stablecoin features embedded in their own applications.

Coinme also supports a large cash-to-crypto network through partnerships, providing the software and compliance layer that enables cash on-ramps and off-ramps at 50,000+ locations across the U.S.

Coinme serves more than one million users and has processed more than $1.3 billion in total transactions since it launched. Its enterprise customers include Coinstar, Exodus, Mercuryo, Baanx, and Breeze.

Coinme was co-founded by CEO Neil Bergquist and has raised $41M in equity funding from Pantera, Digital Currency Group, Coinstar, Circle, and MoneyGram.

Coinme competitors include: ZeroHash, MoonPay, Bridge | Stripe, Banxa | OSL, and Paxos.

Buyer: Polygon Labs
Polygon was founded in 2017 as Matic Network and is actively undergoing an evolution in its product offering. Polygon Labs, formed in 2023, is responsible for supporting the development of the Polygon ecosystem, with a focus on fast, low-cost blockchain infrastructure for payments.

Polygon is now building the Open Money Stack, an integrated set of services designed to move money instantly and reliably, globally. It combines blockchain settlement on the Polygon network with core payment components like wallets, stablecoin integrations, cross-chain connectivity, and compliance tooling, to keep funds on-chain so they can be used across on-chain financial applications.

To make this work across many different blockchains, Polygon Labs is building AggLayer, a settlement layer meant to help different blockchains connect and exchange value with each other quickly and at low cost, reducing the need for separate, disconnected systems.

Polygon is a listed token with a current fully diluted value of $1.6B. Polygonscan shows more than 6.2 billion total transactions on Polygon. Polygon’s website also points to scale indicators like billions of dollars of stablecoins on the network, millions of transactions per day on average, and monthly payment volume, and describes Polygon as infrastructure that can support “trillions” of value moving through it.

The company was co-founded by Jaynti Kanani, Sandeep Nailwal, Mihailo Bjelic, and Anurag Arjun, and is currently led by CEO Marc Boiron, who was appointed in 2023.

Historically, in 2021, Polygon acquired zero-knowledge cryptography companies Mir and Hermez for $400M and $250M, respectively, but these are no longer aligned with the company’s Open Money Stack vision.

Transaction Parameters
Polygon Labs is acquiring Coinme for an undisclosed amount. In combination with another acquisition, Sequence, simultaneously announced by Polygon today. The combined acquisition value is around $250M. This marks one of the first examples of a protocol acquiring an operating business. The Coinme transaction is expected to close in Q2 2026.

Architect Partners served as the exclusive financial advisor to Coinme.

Notable comparable transactions include OSL | Banxa for $62M (M&A Alert), Nuvei | Simplex for $250M (M&A Alert), Ripple | Rail for $200M (M&A Alert), Stripe | Bridge for $1.1B (M&A Alert), MoonPay | Iron for $100M (M&A Alert), and MoonPay | Helio for $175M (M&A Alert).

Strategic Rationale
Polygon is acquiring Coinme and Sequence to move from being a settlement rail to owning the full experience of how money comes on-chain, moves on-chain, and settles back into the real world. The combination of Coinme’s licensed payments offering with Sequence’s wallet and payments orchestration stack gives Polygon an end‑to‑end, regulated crypto payments platform that spans physical kiosks, embedded wallets, and cross‑chain routing.

On Day 1, Polygon can take this integrated “crypto‑as‑a‑service” solution to banks, PSPs, neobanks, and fintechs who want compliant, turnkey stablecoin and token payments without building their own licensing, infrastructure, or user experience.

Architect Partners’ Observations
This acquisition(s) underscores a broader inflection point in the blockchain protocol market: technological performance and scalability alone will not win. The integration of real-world rails and the ability to deliver end-to-end value for mainstream users are becoming table stakes. As the market matures, competitive advantage is shifting toward owning the commercialization layer, including regulated fiat access, compliance operations, distribution channels, partner integrations, and strong product integration.

Networks that rely entirely on third-party providers risk commoditization, margin leakage, inconsistent user experience, and strategic dependency, just as stablecoins and tokenized products begin to drive meaningful transaction volume and the corresponding revenue opportunities.
Polygon’s actions show they fully understand the importance of this approach.

Sources
Polygon Press Release
Architect Partner M&A Tracker
PitchBook

Alerts

Crusoe Energy Selling Its Bitcoin Mining Unit to NYDIG

John Kennick
March 31st, 2025
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Transaction Overview

On March 25th, 2025, Crusoe Energy, historically offering flare-gas powered bitcoin mining, announced its divestiture of its bitcoin mining unit to NYDIG, a bitcoin miner that also provides custody solutions.

 

Target: Crusoe Energy (Crypto Mining Unit)

Crusoe Energy, founded in 2018 and headquartered in Denver, CO, is an operator of mobile modular data centers that convert waste-gas to energy for AI and Crypto-mining use cases. The company employs approximately 550 employees with 135 of those being part of the crypto-mining unit. 

 

Crusoe Energy’s Crypto-Mining Unit consists of 425 modular data centers across the U.S. and Argentina, representing about 270 MW of power. It also possesses a digital flare mitigation technology, which captures natural gas from oil fields that would have otherwise been burned off into the air as a “flare” and converts this stranded energy into electricity to power modular data centers co-located onsite in the oilfield. This solution has mitigated 2.7 million metric tons of GHG emissions and prevented 22 billion cubic feet of natural gas from being flared, which is equivalent to 630k cars / year of emissions. 

 

This transaction came alongside a debt-raise of $225M with the use of funds being the purchase of NVIDIA GPUs and supporting cloud infrastructure for their AI-initiatives. Prior to this announcement, the company had raised $1.6B in capital at a $2.8B post-valuation. Relevant investors include Bain Capital Ventures, Valor Equity Partners, KCK Group, and Long Journey Ventures that hold board seats and other top investors like G2 Venture Partners, Founders Fund, Lowecarbon Capital, Polychain Capital, DRW Ventures, CMT Digital and 37 others. 

 

Buyer: NYDIG

NYDIG, founded in 2017 and headquartered in New York, NY, is a crypto company whose operations can be split into 1) a bitcoin mining operation consisting of hundreds of thousands of ASIC miners and 2) and a digital asset infrastructure solution, which includes institutional custody, spots & derivatives trading and bitcoin-collateralized “HODL loans.” 

 

Last year, the company had made an investment in Coinmint, a NY-based colocation provider, to capture space for NYDIG’s hashrate and the business has been acquiring other mining operations like Consensus Technology Group, some of Greenidge Generation’s machines within the past two years.

 

The company was last valued at $7 billion following a $1 billion growth round led by WestCap in December 2021. Other notable investors include New York Life Insurance, Bessemer Venture Partners, David Heller, FinTech Collective, Morgan Stanley, Massachusetts Mutual Life insurance, Ribbit Capital and 17 more. 

 

Transaction Parameters

Notable crypto mining transactions in the last twelve months include Stronghold Digital | Bitfarms for $175M, Block Mining | Riot Blockchain for ~$93M, Griid | Cleanspark for $155M, Desiwiminer | BitDeer for $140M, and Applied Digital Sites | Marathon for ~$87M. 

 

Strategic Rationale

This divestiture is part of Crusoe Energy’s pivot away from crypto-mining into AI, which is expected to consume over 8% of global electricity by 2030. It also represents a pivot for the business away from its flare gas technology and mitigation to a renewable energy powered future. Not only did it sell the technology, but its next AI data center, expected to be online by 2026 will be powered by a combination of wind, solar, and natural gas. 

 

On the other side of the transaction, the acquisition of Crusoe’s mining unit enhances the scale and efficiency of NYDIGs and Stone Ridge Holdings mining and natural gas operations. Notably NYDIG is also an affiliate of Stone Ridge Holdings Group, which has access to 10GW of U.S. natural gas production, from which the stranded energy available could be used to power bitcoin mining operations at lower input costs. 

 

Architect Partners’ Observations

This transaction begs the question, is Bitcoin mining the “highest and best use” for a datacenter business. Fundamentally Bitcoin mining is operating specialized computers, at scale, in the most economically efficient fashion possible. Bitcoin mining has evolved to favor the large operators. That is those who have access to large pools of low cost capital and have purchasing power (i.e. ability to get discounts) for both electricity and mining rigs. Small and mid-sized Bitcoin mining businesses have some level of disadvantage which in some cases have put stress on their operations. On top of all that, 90% of the “revenue” (i.e. Bitcoin from the protocol reward), fluctuates in price, making planning a challenge. No different than commodity-based physical mining operations or even oil & gas exploration and refining. Nonetheless, a challenge.

 

Is repurposing for AI workload a solution? Are not the fundamental drivers of success as highlighted above the same? Is going directly up against hyperscalers such as Google, Microsoft and Amazon prudent? Time will tell.

 

Sources 

PitchBook, Crusoe Press Release, NYDIG Press Release, Bitcoin.com