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The crypto exchange heavyweight ’s subsidiary raised USD 400m in a Series A investment round that it says values the firm at USD 8bn and adds fresh capital to compete with other American exchange rivals such as CoinbaseBinance US
The funding round “is the first for FTX US,” the exchange . And it appears that many of the company’s backers are repeat investors, some of whom last year pumped a combined USD 900m into FTX US’s parent company FTX. At the time, the latter claimed it was valued at USD 18bn.
The latest round saw “participation from” pension plans, venture capital players, the crypto investors ParadigmMulticoin Capital, as well as Vision Fund 2a branch of the Japanese tech investor SoftBank
All three of Multicoin, Paradigm, and SoftBank were among the firms making FTX investments last year,
The list of FTX US investors included the following, “amongst others:”
TemasekTribe Capital,Ontario Teachers’ Pension Plan BoardGreenoaks CapitalSteadview Capital,Lightspeed Venture Partners
The company claimed the investment boost “cements” its “position as one of the highest-valued United States-based exchanges.”
It pledged to use the money to “continue accelerating its growth, expand its United States presence, and further establish itself as the largest crypto exchange in the USA.”
But in a nod to regulators, it claimed that it would be “maintaining strict compliance with existing regulations and supporting emerging regulations of crypto spot and derivatives markets.”
And it appears more crypto derivatives moves could come soon, with the company claiming its new funds will allow it “to further grow its user base, bolster its derivatives efforts and launch new business lines.”
M&A plans could also be in the pipelines, as the company explained:
“FTX US plans to leverage the Series A round to make strategic investments and acquisitions in key verticals and expand its network of partnerships.”
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