Decentralized finance platform Synthetix is planning to venture further into crypto derivatives with plans to re-acquire the crypto options platform Derive.

Synthetix said in a May 14 blog post that it plans to acquire Derive in a token exchange deal, pricing 1 SNX token to 27 DRV tokens, which would value Derive at around $27 million. 

The transaction is subject to approval from both the Synthetix and Derive communities, which will take a vote on the proposal, called SIP-415, next week.

If approved, the acquisition will combine Derive’s front-end and real-world asset (RWA) expertise with Synthetix’s derivatives infrastructure.

Derive originally launched as Lyra in 2021, having spun out from the Synthetix ecosystem. Synthetix said the acquisition is part of a broader strategy that includes recent acquisitions of Kwenta and TLX, reflecting ecosystem consolidation.

“Reuniting under one banner simplifies our architecture and governance and unlocks the next phase,” Synthetix founder Kain Warwick said. “This is the kids going out to build their own successful startups, and coming back to join the family business.”

“This re-acquisition marks the next chapter of vertical reintegration with direct protocol ownership of perps, options, and app chains: all of which already have SNX in their DNA,” Synthetix added on X.

Source: Synthetix

The announcement names Hyperliquid, Binance, dYdX, and Deribit, which will be acquired by Coinbase, as competitors, underlining Synthetix’s ambitions to rival major crypto derivatives platforms.

SNX token mint and lockup

To facilitate the acquisition, Ethereum-based Synthetix will issue up to 29.3 million of its self-titled Synthetix (SNX) token with a three-month lock-up followed by a nine-month linear vesting.

SNX has gained 11.5% on the day to reach $0.94 at the time of writing.

Related: Upbit and Bithumb suspend Synthetix token deposits, citing sUSD risks 

However, like most altcoins, it is massively down from its peak and is down almost 97% from its all-time high of $28.53 in February 2021, according to CoinGecko. 

Synthetix has also suffered recently as its native stablecoin, sUSD, depegged and fell to a low of $0.68 on April 18. The dollar-pegged asset remains below its peg at $0.93 at the time of writing.  

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Bitcoin-buying medical device firm Semler Scientific has seen its share price drop after the bell as its first-quarter revenues fell and losses deepened from the year-ago quarter.

In its Q1 earnings report released May 13, Semler reported its total revenues fell 44% from the year-ago quarter to $8.8 million, with its net losses hitting $64.7 million compared to a net income of $6.1 million in the first quarter of 2024.

Shares in Semler Scientific (SMLR) closed the May 13 trading session up over 5% but fell 1.91% to $36 after the bell with its earnings announcement, according to Google Finance. Semler’s stock is down over 32% so far this year.

Semler fell nearly 2% after announcing its Q1 results on May 13. Source: Google Finance

The company said it purchased 894 Bitcoin (BTC) over Q1 and held 3,192 BTC at a fair value of $263.5 million at the end of the quarter, which reflected a cumulative decrease of $16.9 million.

Semler added that between the end of Q1 and May 12, it purchased 616 BTC for a total cost of $59.6 million, increasing its holdings to 3,808 BTC at a fair value of $387.9 million at a purchase cost of $340 million.

Semler said that it made an unrealized gain of $41.6 million on its Bitcoin holdings over Q1, and its paper gains have continued to climb to $52 million so far this year, as of May 12.

Currently, Semler’s Debt to Bitcoin net asset value stands at 25.3%, according to its Bitcoin dashboard.

Semler has been aggressively ramping up its Bitcoin holdings. In an April 15 SEC filing, the company laid out its plans to sell $500 million of its own shares, with part of the proceeds being used to bolster its Bitcoin treasury.

Bitcoin buying firms on the rise

Bitcoin investment firm River reported that corporations and businesses have been the largest net buyers of Bitcoin so far this year, outpacing exchange-traded funds and retail investors.

Nearly 787,000 BTC is held by a total of 104 public companies, according to Bitcointreasuries.net data.

Strategy, formerly MicroStrategy, has been the largest Bitcoin buyer and currently holds more than 568,000 BTC, or nearly 2.7% of Bitcoin’s total supply.

Related: Semler Scientific buys another $10M worth of BTC

Analysts have stated that Bitcoin is now deflationary, as Strategy has claimed it has no plans to sell its Bitcoin holdings.

Meanwhile, on May 13, stablecoin issuer Tether bought $459 million worth of Bitcoin for Twenty One Capital, a Bitcoin investment company it has backed that is set to merge with Cantor Equity Partners.

Twenty One Capital is currently the third-largest Bitcoin holder after Strategy and MARA Holdings.

Blockstream CEO Adam Back said in April that demand from institutions will likely lead to “hyperbitcoinization,” which could see the asset’s market capitalization soar past $200 trillion.

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Crypto and stock trading platform eToro has boosted the size of its initial public offering to $620 million by pricing its shares above its previously suggested range.

The platform and its backers sold over 11.92 million shares for $52 each, which are slated to start trading on the Nasdaq Global Select Market on May 14 under the ticker symbol ETOR, eToro said in a May 13 press release.

Initially, the firm aimed to raise $500 million by offering 10 million shares priced between $46 to $50 each.

The share offering will remain open until at least May 15 and consists of more than 5.9 million shares sold by eToro and 5.9 million shares sold by specific existing shareholders.

The Israel-based eToro will go public as a rival to Robinhood Markets Inc. (HOOD), which went public in July 2021 and whose shares are up over 67% year to date, according to Google Finance. 

Robinhood closed May 13 trading up over 67% at $62 per share, nearing its all-time high of $65, which it hit in February. Source: Google Finance

Initially, eToro made confidential filings with the SEC in January for a public offering before publicly announcing the plans on March 24.

Digital banking fintech firm Chime has also applied to list its stock on the Nasdaq Global Select Market under the ticker symbol CHY. However, the number of shares and price range are still to be determined.

Investment advisory firm Renaissance Capital speculated in a May 13 note to its clients that Chime’s IPO could raise up to $1 billion.

Crypto IPOs in the works

Other crypto companies are also mulling plans to go public. Crypto exchange Kraken is reportedly considering a public offering this year.

Stablecoin issuer Circle filed with the SEC on April 1, then paused its plans after President Donald Trump’s April 2 tariff announcements tanked global markets and stopped many in-the-works public offerings.

Crypto custody services firm BitGo launched a global over-the-counter trading desk for digital assets in February, after it was reported to be gearing up for an initial public offering slated for later this year.

Related: eToro US to cease nearly all crypto trading following SEC settlement

In December last year, crypto exchange-traded fund issuer Bitwise predicted that at least five crypto unicorns would go public in 2025: stablecoin issuer Circle, crypto exchanges Kraken and Figure, and crypto bank Anchorage Digital and blockchain analytics firm Chainalysis.

In 2021, Coinbase was the first major crypto firm to go public in the US, listing its shares on the Nasdaq. 

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