Home News FTX exchange raised $420M at a valuation of $25B

FTX exchange raised $420M at a valuation of $25B

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Bahamian-based FTX cryptocurrency exchange platform announced the closure of a $420.69 million Series B-1 funding round. After which the company’s market valuation reached $25 billion.

69 investors took part in the fundraising, including Temasek, Sequoia Capital, Sea Capital, IVP, ICONIQ Growth, Tiger Global, Ribbit Capital, Lightspeed Venture Partners. As well as funds managed by the investment giant BlackRock.

In addition, Temasek joined the industry-record July round of financing for a Series B company; in the amount of $900 million and brought the volume of investments within its framework to $1 billion.

The additional capital

FTX reported that over the past three months, the client base of the platform has grown by 48%. Moreover, the average daily trading volume has increased by 75% and amounted to $14 billion.

“The additional capital will allow us to provide the service our users deserve and consider other related market opportunities, including stocks, prediction markets, non-fungible token (NFT), and also video game partnerships. We expect to make strategic investments to develop the business and expand our regulatory coverage”; said Ramnik Arora, head of FTX Products.

According to the CEO and founder of the company, Sam Bankman-Fried, the team aims to build a “transparent and regulatory-compliant cryptocurrency platform”. Earlier, he admitted that regulation-related issues take him up to five hours a day.

FTX Digital Markets

Recall that in previously FTX moved its headquarters from Hong Kong to the Bahamas. The corporation announced on September 20 that the Securities Commission of The Bahamas has approved FTX Digital Markets; the Bahamian subsidiary of the global FTX crypto exchange, as an official digital asset business.

The regulatory approval is issued under the Bahamas’ new digital asset-related legislation. Furthermore, as the exchange continues to extend its global reach, the regulatory license will assist FTX in establishing a “significant presence” in The Bahamas.

Ryan Salame, the former head of Alameda Research’s over-the-counter trading, has already joined FTX Digital Markets as CEO. And will be in charge of the company’s local initiatives.

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