Crypto payments platform MoonPay has acquired Sodot, an Israeli crypto security infrastructure provider, in an all-stock transaction valued at approximately $100 million, and has launched a dedicated institutional division to serve traditional financial firms entering digital asset markets.

A Strategic Push Into Institutional Finance

The acquisition marks a significant expansion of MoonPay's business beyond retail crypto payments. The company will use Sodot's key management technology as the core infrastructure layer of MoonPay Institutional, its new division designed to serve financial institutions, asset managers, trading firms and exchanges seeking to enter digital asset markets.

"We built MoonPay to be the world's leading crypto payments network," said Ivan Soto-Wright, co-founder and chief executive of MoonPay. "Our institutional arm is the next stage for the company."

Security Infrastructure at the Core

Founded in 2023, Sodot specialises in self-hosted multi-party computation, a cryptographic method that splits a private key into separate shares distributed across multiple independent parties. The approach is designed to increase the security of digital asset custody and is widely regarded as a critical component of institutional-grade wallet infrastructure.

The deal reflects rising demand from traditional finance companies for secure wallet and custody solutions as they expand into digital assets. The acquisition comes amid a broader trend of institutional services supported by crypto custody providers, with OKX recently integrating off-exchange settlement by BitGo and BitMEX partnering with Zodia Custody for institutional derivatives trading.

Former CFTC Chair to Lead New Division

MoonPay Institutional will be led by Caroline Pham, who joined the company as chief legal officer and chief administrative officer after serving as acting chair of the US Commodity Futures Trading Commission. Her appointment signals MoonPay's intent to position the new unit at the intersection of regulatory expertise and digital asset innovation.

"There is no one better suited to lead this business than Caroline, who brings decades of experience at the highest levels of financial regulation and capital markets," Soto-Wright said.

Institutional Crypto Custody Heats Up

The new division will cover a broad range of services for large financial firms, including trading, tokenized securities, payments, wallet management and stablecoin issuance. The move positions MoonPay as a full-service provider for institutions navigating the digital asset landscape, at a time when regulatory clarity and secure infrastructure are increasingly viewed as prerequisites for institutional participation.

For MoonPay, the acquisition of Sodot and the launch of its institutional arm represent a calculated bet that the next phase of crypto adoption will be driven not by retail consumers, but by the world's largest financial institutions seeking secure, compliant and scalable digital asset infrastructure.