Breadwallet – an open-source cryptocurrency software wallet – recently announced that it has been acquired by Coinbase. In response to the news, BRD token’s price has soared by 400%.
Breadwallet announced its acquisition by Coinbase in a blog post earlier today. The team stated that it will work with the exchange to bring decentralization to more users around the world.
“At this time, nothing will change in the BRD wallet app,” read the statement, “and as always, your funds are safe and secure. You may continue to transact normally. In the future, BRD wallet users will have an optional migration path to self custody with Coinbase Wallet, which will include a special gift. Stay tuned for more details to come in 2022.”
Breadwallet launched as an app in 2014, focused on making crypto custody more accessible to regular people. According to a statement from 2016, the team was especially intrigued with the financial freedom and inflation hedging capabilities provided by Bitcoin. More recently, Bloomberg has recognized that Bitcoin is one of the best inflation hedge assets right now.
The wallet currently serves over 10 million users globally. As part of the wallet’s functionality, those users are granted additional features for holding BRD tokens within their wallet. BRD is the utility token native to Breadwallet, used to reward users that interact with the app.
The token’s value beyond the app is determined entirely by market forces, which have worked largely in its favor today. While formerly trading for $0.16, its price spiked to $0.50 at about 3:18 EST, and again to $0.80 at 4:04. That’s five times its starting price, ever since announcing joining Coinbase.
Coinbase has been quick to step foot in nearly every aspect of the cryptocurrency space with various new products and partnerships. Besides acquiring Breadwallet, the exchange has also partnered with META (formerly Facebook) to launch its cryptocurrency wallet “NOVI”. The exchange has even become the official cryptocurrency partner of the NBA.