In the midst of the crypto winter, consolidation within the cryptocurrency sector is continuing, with the latest development being the acquisition of payments and accounting platform Gilded by Bitwave, one of its competitors.
This strategic acquisition, as revealed in a statement to Cointelegraph, is aimed at bolstering Bitwave’s suite of enterprise solutions, specifically enhancing its offerings in the realms of crypto payments, invoicing features, and tools for tax tracking and bookkeeping. As part of this integration, Ken Gaulter, the Chief Technology Officer of Gilded, will join Bitwave’s engineering team.
This acquisition follows Bitwave’s earlier purchase of Multisig Media a few months ago, underlining the company’s strategic expansion in the crypto space.
Pat White, Co-founder and CEO of Bitwave, expressed the company’s belief in the transformative potential of digital asset payments, emphasizing their speed and cost-effectiveness compared to traditional payment channels. He envisions this to be a game-changer for businesses operating in our highly interconnected global economy. While the specific financial details of the acquisition were not disclosed, it signifies a concerted effort by Bitwave to position itself as a leading player in the crypto financial services industry.
Gilded, established in 2018 by a group of developers and accountants, has been dedicated to helping companies seamlessly integrate cryptocurrency solutions into their financial reporting and accounting processes. With over 130 enterprise customers encompassing crypto startups, nonfungible token marketplaces, decentralized autonomous organizations, miners, and accounting firms, Gilded has made a significant impact in the crypto accounting sector.
Crucially, Gilded’s existing client base will continue to have access to its suite of products while also gaining exposure to Bitwave’s comprehensive platform.
Bitwave, another company founded in 2018, shares a similar focus on crypto accounting and compliance services. Notably, in December 2022, Bitwave successfully closed a Series A funding round, raising $15 million. This substantial funding was earmarked for the expansion of its crypto solutions to meet the complex accounting requirements of enterprises. The round was led by Hack VC and Blockchain Capital. Furthermore, Bitwave recently entered into a strategic partnership with Deloitte, one of the Big Four accounting firms, with the aim of offering enterprise tools designed to seamlessly connect blockchain data with enterprise resource planning systems.
Pat White reaffirmed Bitwave’s belief in the transformative potential of crypto payments, citing instant settlement and remarkably low fees as key drivers. Additionally, recent regulatory developments have provided more clarity regarding the tax and accounting aspects of digital assets. The U.S. Financial Accounting Standards Board, for instance, recently approved guidelines governing the reporting of the fair value of cryptocurrencies on balance sheets, ushering in an era of increased transparency and scrutiny in the digital asset space.
As the regulatory landscape evolves and digital assets become increasingly integral to financial systems, companies like Bitwave are poised to play pivotal roles in facilitating seamless, compliant, and efficient crypto financial services for enterprises.
