Matrixport, crypto banking and financial services startup spinoff from Bitmain Technologies Ltd., announced today that it has raised $100 million in funding at over $1 billion valuation led by partners of DST Global, C Ventures and K3 Ventures.

The Series C funding round was also joined by Qiming Venture Partners, CE Innovation Capital, Tiger Global, Cachet Group, Palm Drive Capital, Foresight Ventures and A&T Capital.

“We are more than a gateway to the crypto economy. Matrixport is where both institutional customers and individuals find it easy to get more from their crypto, beyond just trading,” said John Ge, co-founder and chief executive of Matrixport. “We are continually pushing out more new ways to invest crypto and earn yields in a safe and sustainable manner.”

The company bills itself as a “neo bank” and offers a full set of services for intuitional and retail clients including custody, trading, lending and structured products and asset management for cryptocurrencies and other digital assets.

“I always believed an open and permissionless blockchain ecosystem is the bedrock of a new financial network that will benefit a large part of the world’s population,” said Jihan Wu, co-founder and chairman of Matrixport. “As a result, there will be hundreds of trillions in value created, stored and transferred on this new financial network.”

The company has held over $10 billion in client assets under management and custody as of March 2021 and recorded $5 billion in monthly transactions across all its product lines.

“As blockchain-based digital assets gain wider adoption and acceptance, new pathways are needed to capture yield, source liquidity and manage crypto assets as an emerging asset class,” said Adrian Cheng, founder of C Ventures. “Matrixport is well-positioned to answer the increasing demand for this new area of investment, driven primarily by the younger generations.”

This adoption has been bringing a lot of venture capital attention to the industry with especially large rounds recently. For example, crypto wallet Blockchain.com raised $300 million, crypto custody firm Fireblocks Inc. raised $310 million and peer-to-peer payments company Circle Internet Financial Ltd. raised $440 million this year alone.

Matrixport intends to use the funding to invest in research and development to further expand its product portfolio and create a better user experience. The company also wants to increase its global reach as well as secure licenses to operate in more jurisdictions.

The company currently has licenses in Hong Kong and Switzerland and has more than 220 employees serving both institutions and retail customers in Asia and Europe.

Image: Pixabay