Despite growing fears of a possible downturn in the cryptocurrency market, major industry players like FTX continue to gain momentum by securing hundreds of millions in new funding.
FTX Trading, the owner and operator of Sam Bankman-Fried’s FTX cryptocurrency exchange, officially announced Monday that it has closed a $400 million Series C funding round, giving the company a valuation of $32,000. made dollars.
The new fundraising comes days after FTX’s sister firm, US-based FTX US, also raised $400 million in a Series A round on Jan. 26, reaching a valuation of $8 billion .
According to the announcement, the recent fundraiser was attended by Singapore-based state-owned investor Temasek, digital asset investment firm Paradigm, Ontario Teachers Pension Plan Board of Canada, Tiger Global, SoftBank Vision Fund 2, and others. All companies simultaneously participated in the above funding round for FTX US.
The new funding represents a significant milestone for FTX as the company has secured $1.8 billion over the past six months, said CEO Sam Bankman-Fried. The new round will help the company bring more products to market and expand its global footprint with additional regulatory approvals and licenses.he pointed out.
FTX’s new rounds of funding come amid a significant downturn in crypto markets, with Bitcoin falling from over $50,000 in late December to a low of $33,000 on Jan. 25. While some crypto executives like Kraken CEO Jesse Powell said the world could potentially see another crypto winter, Bankman-Fried believes it won’t last long:
“I think we are not entering a long-term crypto winter. There have been changes in interest rate expectations and this has moved the crypto markets. But it also moved markets in general.”
Bankman-Fried also said that FTX has no easy plans for an IPO. â€œI am not sure we will. He could see it happening, he could see it wasn’t happening. We don’t feel we have a particular need to do that,” he said. The executive went on to say that FTX will “try to be prepared” if they end up wanting to, with preparations including audited accounts and consideration of potential listing options.