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Are blockchain and cryptocurrency M&As harder to close?

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  • Akdoğu, Evrim
  • Simsir, Serif Aziz

Abstract

We investigate whether distinctive features of the blockchain/cryptocurrency industry led to different completion rates of the announced mergers and acquisitions (M&As), relative to other industries, during the years 2013–2022. Despite having a significantly lower deal closure rate on average, we find that this effect is contained only in a few years and does not span the entire decade. We also find that bitcoin prices are an important determinant of the industry's deal completion rate. Our findings may help give a glimpse into the eventual fate of the most recent deals announced during the crypto crash that started in early 2022.

Suggested Citation

  • Akdoğu, Evrim & Simsir, Serif Aziz, 2023. "Are blockchain and cryptocurrency M&As harder to close?," Finance Research Letters, Elsevier, vol. 52(C).
    • Handle: RePEc:eee:finlet:v:52:y:2023:i:c:s1544612322006766
    DOI: 10.1016/j.frl.2022.103500
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    References listed on IDEAS

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    Cited by:

    1. Rupert L. Matthews, 2024. "Untangling the Processes of Bitcoin: An Organizational Learning Perspective," Challenges, MDPI, vol. 15(1), pages 1-18, February.

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    More about this item

    Keywords

    Blockchain; Cryptocurrency; Mergers & acquisitions; Deal completion;
    All these keywords.

    JEL classification:

    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance

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