A venture capital company focusing on the digital currency market Digital Currency Group (DCG) valued at $10 billion. Following a private sale of securities by existing shareholders in the amount of $700 million.
Thus, CapitalG (an investment company managed by Alphabet Inc); SoftBank funds (Vision Fund 2 and Latin America Fund); Rabbit Capital participated in the round.
Moreover, according to the WSJ, SoftBank Chief Executive Officer Marcelo Claure described DCG as “the single-best asset that gives us a wide range of opportunities to work with cryptocurrencies.”
Investing in many companies around the world
DCG is the parent company of a number of well-known cryptocurrency brands. Its valuation has been a mystery up until now, as it had only raised $25 million in basic capital since its inception.
In addition, the group includes Grayscale Investments management company, Genesis prime broker, CoinDesk publication, Luno, which was absorbed in September 2020, and Foundry mining company.
“We have invested in many companies around the world, including almost two dozen trading platforms. But this is the first subsidiary providing wallet and exchange services with a large number of retail investors”. Said Mark Murphy, DCG’s COO, about the Luno cryptocurrency exchange acquisition.
Recall that previously in September, SoftBank, through Vision Fund 2; supported the blockchain company Blockdaemon in an investment round of $155 million.
Matrix Capital Management, Sapphire Ventures and Morgan Creek Digital also participated in the funding round. Along with existing investors such as Bold storm Ventures, Goldman Sachs, Greenspring Associates, CoinFund, Kinetic, Kraken Ventures and others.
“This latest large infusion of capital will ensure that we continue to revitalize existing financial infrastructure,” said Blockdaemon CEO and founder Konstantin Richter. “We are committed to a future of decentralized financial infrastructure and accelerating the ease of integration to bridge traditional banking to the crypto ecosystem”. The valuation of a startup focused on deploying infrastructure for staking and node management reached $1.26 billion.