Bullish has 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, a cryptocurrency startup that gained notoriety in July 2021 for ostensibly not knowing what goods or services it was providing, has announced the cancellation of a deal intended to take the business public.
Bullish said on December 22 that it has mutually decided not to merge with Far Peak Acquisition in a deal that would have allowed it to be listed on the New York Stock Exchange.
The CEO of Block.one and Bullish Chair Brendan Blumer explained that the business decided against moving forward due to the US Securities and Exchange Commission’s efforts to “establish new digital asset standards and clarify industry-specific disclosure and accounting issues.”
“Given the time constraints and market conditions, Far Peak does not intend to seek a new merger partner and will instead focus on winding up either on March 7, 2023, or sooner if practicable,” said Bullish.
According to the initial special-purpose acquisition company, or SPAC, agreement signed in July 2021, either party would have the ability to end the contract if all transactions weren’t completed by December 31.
If the purchase closed, Tom Farley, the CEO of Far Peak Acquisition and a former president of the New York Stock Exchange, would have taken the helm of Bullish.
Bullish reportedly received 164,000 Bitcoin (BTC $16,801), $100 million in cash, and 20 million EOS tokens from Block.one before launching in May 2021. An additional funding round raised $300 million.
However, several cryptocurrency users at the time compared the SPAC release to a “news hoax pump” or Block.one in any other case making a cash grab, probably since the company’s website initially lacked most of the information helpful to investors.
Many SPAC mergers may have failed in 2022 due to the bad market as lawmakers and authorities looked to crack down on cryptocurrencies. FinTech Acquisition Corp.
V announced in July that it had mutually terminated its SPAC merger with Israeli cryptocurrency company eToro after the latter’s valuation fell from $10 billion to $5 billion in about a year. The SPAC agreement between Circle and Concord Acquisition was terminated on December 5th, according to the stablecoin issuer Circle.
