Indian cryptocurrency exchange CoinDCX received unicorn status amid raising $ 90 million from investors. Information about this appeared in the project blog. It is one of the few Indian fintech startups to have seen accelerated growth in recent years.
CoinDCX has managed to raise funding from Facebook co-founder Eduard Saverin’s company B Capital Group and other investors including Coinbase, Polychain, Block.one, and Jump Capital.
Against the background of the successful completion of the investment round, the valuation of the crypto exchange exceeded $ 1 billion; which allowed the trading platform to become the first crypto-unicorn in India.
It should be noted, however, that the funding round turned out to be $ 10-20 million less than the original plans.
What will the attracted funds be spent on?
According to representatives of CoinDCX, the company plans to spend the funds to expand its staff. Overall, the company hopes to double the stock exchange staff over the next six months to around 400 people.
The move marks a major achievement in the face of regulatory uncertainty surrounding the stance of Indian officials on cryptocurrencies.
The developers of the trading platform also hope that against the background of the development of the project; the number of its users will grow from 3 to 50 million people over the next five years. Already, the exchange has recorded a 20% increase in trading volumes and a 12% increase in the number of new customers over the past two quarters.
In addition, thanks to the funding received, CoinDCX plans to increase its presence on the Indian crypto market; expand the range of services offered, and technological infrastructure. The exchange plans to expand by acquiring smaller exchanges in other markets.
It would also be strange not to note that CoinDCX is planning to use the raised funds to continue the adoption of cryptocurrencies in India.
CoinDCX will continue to contribute to the growth of the crypto industry in India
CoinDCX crypto exchange launched in 2018. As of August 2021, 31 cryptocurrencies traded on the exchange. During its work, the project managed to attract the attention of many large participants in the digital asset market; including Coinbase Ventures and Polychain Capital. As we noted above, existing investors also took part in the round.
As a reminder, last year CoinDCX raised $ 3 million in a Series A funding round and $ 13.9 million in a Series B investment round. The flow of investments into the trading platform accelerated amid the Indian authorities lifting the ban on processing banking transactions related to cryptocurrencies. This is partly due to the COVID-19 epidemic, which has accelerated the adoption of digital technologies in many companies. However, according to a CoinDCX survey, most Indian investors still do not have “easy ways” to gain access to cryptoassets.
The main goal of the project is to provide Indian citizens with access to digital assets.
CoinDCX notes that they will continue to contribute significantly to the growth of the industry; foster adoption in underserved markets, and introduce new methods and new thinking to be followed in the industry.
Meanwhile, a new generation of Indian cryptocurrency investors has emerged. The industry estimates that this group is about 15 million people, most of whom are under 25. This shows the huge growth potential of the industry.