The world’s largest bitcoin exchange is expanding again, this time targeting Forbes, one of the most well-known publications and digital publishers. Binance has committed to spend $200 million in the century-old business in order to assist it in merging with a SPAC (Special-Purpose Acquisition Company)
Forbes previously announced plans to go public in August 2021 through a business combination with Magnum Opus, with the transaction set to finalize in the first quarter of 2022.
Binance’s strategic investment will be made through the assumption of subscription agreements totaling $200 million in the $400 million private investment in public equity (PIPE) that Forbes announced in conjunction with its plan to go public.
“With Binance assuming existing PIPE commitments, the overall size of the PIPE will remain at $400 million, and Binance’s investment will be according to substantially the same terms as the existing PIPE investors,” the announcement read.
Binance’s chief communications officer Patrick Hillmann and head of Binance Labs Bill Chin will join Forbes’ board of directors as part of the deal.
According to Forbes CEO Mike Federle, Binance’s investment would help the company gain access to “the world’s biggest crypto exchange and one of the world’s most successful blockchain pioneers’ experience, network, and resources.”
“Forbes is committed to demystifying the complexities and providing helpful information about blockchain technologies and all emerging digital assets,” he noted.
Changpeng Zhao, the founder and CEO of Binance, emphasized the importance of media support in the crypto business as part of the company’s mission to increase consumer awareness and adoption of cryptocurrency, saying:
“As Web3 and blockchain technologies move forward and the crypto market comes of age, we know that media is an essential element to build widespread consumer understanding and education. We look forward to bolstering Forbes’ digital initiatives, as they evolve into a next-level investment insights platform.”
Binance’s investment in Forbes “would be the first of its sort” in the media industry, according to a spokeswoman, and “Web2 had a dramatic impact on the media sector.” We believe Web3 will play an equally vital role in journalism and publishing in the future.”
So far, Binance appears to have been successful in its aim to spread awareness about cryptocurrency and Bitcoin. Binance purchased CoinMarketCap in April 2020, the most popular cryptocurrency website with 187 million visitors as of August 2021. The website also includes news, updates, and current market leaders in addition to market capitalization figures. In September 2020, CMC Alexandria, the company’s own crypto education webpage, was created.