This week crypto M&A activity continues to be strong, with three transactions announced.
Notably, two of these transactions are what we characterize as the “DApp: Enterprise Use Case” subsector, which are companies solving real-world problems with blockchain technology. This is critically important for the blockchain industry, as “real-world” use cases remain critical to further advancing the large-scale adoption of blockchain technology.
Ark7’s acquisition of Robinland leads us to one of the most interesting applications of blockchain technology, the tokenization of the real estate industry. In this case, Ark7 intends to use Robinland to further develop their existing platform and leverage their tokenization technology.
Enterprise use case-based M&A transactions continue to increase in volume year over year as these applications mature. There were 4 in 2020, 10 in 2021, 12 in 2022, and there have been 8 in 2023 to date. This is a group that we anticipate significant M&A activity as applications develop and blockchain technology becomes increasingly mainstream. It’s highly likely that some become subsectors themselves, similar to payments and gaming.