Blockchain.com Raises $110M in Series E
Blockchain.com, an established cryptocurrency exchange and wallet provider, recently raised $110 million in a Series E equity financing round led by Kingsway Capital of the United Kingdom. The latest investment comes despite the fact that the firm’s valuation has dropped below half of its previous $14 billion figure from earlier this year.
Blockchain.com is one of the world’s largest crypto exchange and wallet provider services. Currently, the company has over 82 million customers, and its platform handles over $1 trillion in transactions.
The Funding Round
The Series E funding round included a number of reputable investors. Lakestar, Lightspeed Venture Partners, Coinbase Ventures, and Baillie Gifford are among those involved. As part of the agreement, Kingsway Capital and Lakestar will join the crypto exchange company’s board of directors. While the exact terms were not disclosed, Bloomberg reports that the $110 million investment valued Blockchain.com at just under $7 billion. That is less than half of the company’s previous March 2022 funding round’s $14 billion valuation.
The success of the funding round, as well as the revised valuation of Blockchain.com, can be attributed to signs of crypto price recovery. Bitcoin (BTC) recently broke through an important resistance level of around $31,000, resulting in a significant price increase. Although the price has been less bullish in the last week, many analysts see it as a temporary retracement, which is common in price action.
Increased Investor Trust in Crypto
The achievement of this funding demonstrates renewed investor interest in crypto-focused companies and infrastructure providers. It is also not surprising considering that major financial institutions such as BlackRock and Fidelity are showing a strong interest in BTC, ETH, and XRP and are seeking approval to offer spot ETFs linked to crypto.
Despite the fact that the crypto exchange laid off a number of employees in January this year in order to survive the long crypto winter, the recent funding demonstrates that Blockchain.com is making deliberate efforts to expand its services and reach globally.