ARCHITECT SUCCESSES

SEE ALL
Swyftx Acquires Caleb & Brown
Swyftx Acquires Caleb & Brown

Transaction Overview

On July 1st, 2025, Swyftx, one of the largest Australian cryptocurrency exchanges, announced a definitive agreement to acquire Caleb & Brown, a high-net-worth-focused crypto brokerage, for an undisclosed amount.

 

Target: Caleb & Brown

Caleb and Brown is a Melbourne-based, high net worth focused crypto brokerage that specializes in personalized trading services across the digital asset landscape. Caleb & Brown focuses on the relationship model used successfully across traditional  financial services – every client that comes onto their platform gets assigned a broker to assist them in executing trades  and handling all customer service needs. Caleb and Brown’s core services include 1) Brokerage Services, which provide personalized 24/7 trading support for 250+ digital assets, 2) an OTC Desk, which provides high volume trading solutions with deep liquidity and competitive pricing, 3) the Caleb and Brown Asset Management, an actively managed crypto asset fund for accredited investor, 4) crypto custody. 

 

The business has more than AUD $2 billion of digital assets under custody and was founded by Rupert Hackett and Dr. Prash Puspanathan in 2016. C&B is led by CEO Jackson Zeng and has 64 team members across both Australia and the US. Caleb & Brown has not raised any outside capital. 

 

Architect Partners’ Observations

Architect Partners acted as the exclusive financial advisor to Caleb & Brown. 

 

Swyftx’s acquisition of Caleb & Brown marks the largest acquisition targeting high net worth crypto investors. It also reflects two important shifts in the evolution of crypto exchanges, particularly within the ANZ region.

 

First, high-net-worth client service is becoming a strategic differentiator. Exchanges are beginning to recognize that personalized brokerage and deep client relationships offer a competitive advantage while greatly reducing attrition. This is a model that high-net-worth clients are accustomed to in their financial lives. Caleb & Brown’s approach, which assigns a dedicated broker to every client, stands apart from the high-volume, low-touch models that dominate the market. Swyftx gains access not only to clients but also to an established business model that emphasizes trust, service, and retention in a way few crypto exchanges have pursued.

 

Second, this is a milestone moment for ANZ crypto M&A. While there have been many plays for global expansion by exchanges, this is the first of its kind in Australia moving into the US, signaling that the region is entering a more active phase of market maturity. 

 

We believe this transaction will serve as a catalyst for further strategic activity to expand globally and to augment services as companies seek differentiation in both product and customer segments.

 

Strategic Rationale

Swyftx is acquiring Caleb & Brown to expand into the United States via C&B’s regulatory framework, and to acquire the relationship model inherently required with a higher-tier customer base. This acquisition will grant Swyftx entry into the U.S. 12 to 24 months faster than otherwise possible organically. Furthermore, the acquisition diversifies Swyftx’s primarily retail client base to include 25k+ high net worth individuals in numerous countries. 

 

“Caleb & Brown has quietly established one of the most impressive brokerage offerings in the world, with a heavily differentiated private client service. We see enormous growth potential.” – Jason Titman

Crypto Public Companies Snapshot

Crypto Public Companies Snapshot

Ryan McCulloch
October 25, 2024
DOWNLOAD FULL REPORT

Let’s talk about MicroStrategy this week. As a reminder, MicroStrategy is an enterprise analytics and mobility software provider that’s been around since 1981. In August 2020, they decided to invest ~$250M in Bitcoin and have continued with that strategy for the last four years. As of September 2024, MicroStrategy now holds ~1.2% of the total Bitcoin supply, totaling 252,220 Bitcoin, currently worth $16.8B.

 

 

In 2022, a clear strategy shift occurred with Michael Saylor’s departure after the company took a $917M loss. Despite that, the company continues to purchase Bitcoin, acquiring 7,420 BTC or $458M worth of Bitcoin in September 2024. Before that, the company had acquired 36,650 BTC after August 2022. The strategy has worked out fairly well for the company, with BTC yield rates—a metric that shows MicroStrategy’s Bitcoin returns relative to Bitcoin after accounting for dilution—at 17.8%, 7.3%, and 1.8% for September 2024, 2023, and 2022, respectively.

 

 

Moreover, MicroStrategy’s value has been driven by its holdings. The company’s returns have been 242%, 65.7%, and -70.53% year-to-date in 2024, 2023, and 2022, respectively. This is favorable compared to YTD BTC returns of 57%; however, it compares unfavorably to last year’s returns of 156% and -64% in 2023 and 2022, respectively. This discrepancy is likely due to the average cost of each acquired Bitcoin being around $38,585. Yet, in the grand scheme of things, since starting its Bitcoin strategy, the company has seen a return of 1,508%—an overwhelming success. Bitcoin itself has increased ~470% in the same period.