Blockchain.com, Â a London-based cryptocurrency service provider, raised $ 300 million in a new round of investments that valued the company at $ 5.2 billion, compared to a valuation of $ 3 billion a month ago.
The investment round was led by DST Global, Lightspeed Venture Partners and VY Capital, and it’s the third largest fundraising round in the crypto industry to date. The sum corresponds to raised in a single round from Bakkt in March 2020, just behind the $ 350 million from BlockFi earlier this year Y. Bitmain Technologies’ $ 400 million in mid-2018.
A month ago Blockchain.com raised $ 120 million valued at $ 3 billion, as reported later. The Wall Street Journal notes that fundraising in the crypto space declined from a total of $ 4.5 billion in 2018 to $ 2.7 billion in 2020. This year there have already been three of the six largest capital increases in the history of the emerging industry.
Blockchain.com plans to use the new funds to hire more employees and strengthen the institutional business. According to its CEO, Peter Smith:
“The institutional side needs more capital. When you go to the asset managers, they want a good record.”
Smith added that he expects Blockchain.com profits to hit an all-time high of “nine digits” in 2021 if the current Bitcoin (BTC) price boom continues. Apparently, its business has already doubled since the beginning of this year. According to Smith, the company has 31 million verified users in more than 200 countries and 70 million registered digital wallets. In addition, the company has raised a total of $ 1.5 billion since its inception in 2011.
Smith implied that too The company is “cautiously considering its options in the public market,” looking at the outcome of Coinbase’s long-awaited public offering or initial public offering later this year. at the beginning of March Coinbase had an estimated valuation of approximately $ 100 billion prior to going public and intends to sell up to 115 million shares on the Nasdaq exchange. according to its most recent filing with the US Securities and Exchange Commission.