Coinbase's acquisition spree continues. Unbound Security, an Israeli crypto custody infrastructure startup specialized in multiparty computation (MPC) technology, is poised to be acquired by the US-based crypto exchange operator.

For crypto assets, MPC technology combines both security and usability. To put it another way, it combines the advantages of both offline ("cold") and online ("hot") wallets.

"As it eliminates the need for offline ('cold') storage, this technology is crucial in making NFTs [non-fungible tokens], DeFi [decentralized finance], and other Web3 applications practical," a Coinbase spokeswoman told The Block. Over time, Coinbase intends to integrate MPC technology into its retail and institutional solutions, according to the company.

The financial terms of the purchase haven't been disclosed, but according to Unbound Security's LinkedIn page, the company has raised at least $40 million in outside capital and employs over 70 people. According to Coinbase, the purchase is subject to normal closing conditions and is expected to close in the coming months.

When the deal is finalized, Coinbase will open a "tech center of excellence" in Israel, establishing the company's foothold in the country. This new research lab, which Coinbase wants to expand over time, will be built around the Unbound Security team.

Coinbase has made similar announcements in Singapore, India, and Brazil, where it has recently been hiring engineering expertise.

Coinbase competitor Gemini purchased Shard X, a crypto custody infrastructure firm specializing in MPC technology, in a similar move earlier this year.

Since its establishment in 2012, Coinbase, a Nasdaq-listed business, has acquired over a dozen companies. It has recently acquired BRD, a crypto wallet provider, Zabo, a crypto data aggregator, Skew, a crypto data, and analytics platform, Bison Trails, a staking infrastructure company, and Agara, an AI-powered customer assistance platform.