Nasdaq announces acquisition of SecondMarket

Nasdaq announced the acquisition SecondMarket, an exchange that lets startup employees trade their stock for cash before going public.

The acquisition by Nasdaq, including the hire of all SecondMarket employees brings with it much more than just access to pre-IPO liquidity for private companies. It is also a symbolic move that puts the DNA of a company whose roots lie in the bitcoin community deep within Wall Street.

“Nasdaq has been synonymous with innovation in the capital markets for over 40 years. And this transaction, along with our blockchain efforts, creates new opportunities to serve the equity needs of companies throughout their time in the private arena.” said Nasdaq executive vice president Nelson Griggs.

As part of the deal, SecondMarket CEO Bill Siegel takes over as the head of Nasdaq Private Market. Previously, SharesPost founder and CEO, Greg Brogger served as president. Collectively, NASDAQ Private Market and SecondMarket serve a portfolio of private companies including DocuSign, Pinterest, Shazam, and Tango.

“We are confident that our combined expertise and the existing infrastructure at NASDAQ Private Market – including their ExactEquity offering and innovative blockchain efforts – will provide a first rate experience for all of our clients and give us the opportunity to continue being an industry leader in our space,” said Siegel.

NASDAQ is an American/Canadian stock exchange.