Market intelligence firm S&P Global announced on Thursday that it has acquired digital security company Openzeppelin. Founded in 2015, Openzeppelin focuses on onchain finance and reports that its contracts have handled $37 trillion in value, alongside conducting more than 900 security engagements.
The financial terms of the transaction were not disclosed. S&P Global stated that the acquisition is designed to enhance its risk assessment and ecosystem development capabilities within the digital asset market.
Expanding Onchain Reach
S&P Global initially entered the cryptocurrency and blockchain space in May 2021, when S&P Dow Jones Indices launched its first digital asset benchmarks. The 158-year-old company noted that the latest purchase will help it evaluate the risks associated with blockchain technology and onchain financial products.
Through the acquisition, Openzeppelin gains access to S&P Global's global reach, institutional connections, and brand presence, providing the security firm with broader access to traditional finance (TradFi).
Boosting TradFi and DeFi Confidence
Yann Le Pallec, President of S&P Global Ratings, commented on the strategy behind the deal. "Our digital assets strategy centers on bringing trusted data, benchmarks and transparent risk assessment to markets as they move onchain," he said.
Le Pallec added that as tokenized markets and digital assets mature, Openzeppelin's technology and expertise will complement S&P Global's smart contract and onchain technology risk assessment capabilities. The executive noted this aims to give both traditional financial institutions and decentralized finance (DeFi) companies the confidence to build and transact in the environment.
