Mexican cryptocurrency exchange Bitso completed a Series C capital increase of $ 250 million, placing it at the top of the Latin American financial technology industry.
With the latest round of investments, Bitso has a total value of $ 2.2 billion, making it the first Latin American cryptocurrency exchange worth more than $ 1 billion. It is also the third largest financial technology company on the continent.
The fundraiser was led by Tiger Global and Coatue with additional contributions from Valor Capital Group, BOND and Paradigm.
Daniel Vogel, Co-Founder and CEO of Bitso, said his exchange took six years to reach his first million customers and less than ten months to reach two million. As previously reported by Cointelegraph, Bitso registered its one millionth user in July 2020.
“People in Latin America use this technology in their daily lives,” Vogel said, referring to his cryptocurrency exchange. “We pride ourselves on growing with the industry and continuing to make this powerful financial resource available to everyone.”
He stated that the latest round of investments will be used to expand the company’s capabilities as the exchange continues to expand its regional operations:
“Last week we started our operations in Brazil. This round will be used to expand our capabilities and our product offerings and to keep cryptocurrencies useful across Latin America.”
Bitso was launched in 2014 and offers cryptocurrency exchange services in Mexican pesos. The platform processes deposits and withdrawals through the Ripple payment gateway and is available in desktop and mobile versions.
The Series C fundraiser follows a successful Series B fundraiser in December 2020 that raised $ 62 million from a variety of mutual funds including Kaszek Ventures and QED Investors. At the time, Vogel said the funds would be used to further develop the company’s capabilities across Latin America.
Argentina was one of Bitso’s first expansion targets in 2019 after the company deployed mutual funds received from a Ripple-led fundraising drive. It took the exchange just six months to become the most popular bitcoin trading platform in Argentina.
Cryptocurrencies are thriving in Argentina as the locals face a crumbling economy, high fiscal pressures and a sharp devaluation of the peso. Capital controls during the pandemic also accelerated Bitcoin adoption as more and more people tried to bypass a troubled banking system.