Cryptocurrency Exchange FTX Trading Ltd. Raises $420 million in a Series B-1 Funding Round by 69 investors, including Temasek, Sequoia Capital, and Tiger Global.
FTX Raises $1.42 Billion Till Date
The latest funding round witnessed the participation from a total 69 investors, including Ontario Teachers’ Pension Plan Board, via its Teachers’ Innovation Platform, Temasek, Sequoia Capital, Sea Capital, IVP, ICONIQ Growth, Tiger Global, Ribbit Capital, Lightspeed Venture Partners and funds and accounts managed by BlackRock.
The latest funding brings total valuation of FTX at $25 billion. The new funding comes in just three months after FTX’s $900 million Series B. FTX, however, revealed that in addition to the B-1 funding, Temasek had participated in the previously announced Series B, and updated the total amount of that raise from $900 million to $1 billion.
This new funding brings the total raise of FTX till date to $1.42 billion. The crypto startup intends to use the fund to expand into new domains, and improve its current product portfolios.
Sam Bankman-Fried, CEO of FTX, said:
“We founded FTX two years ago with the idea of creating a better financial marketplace. Today we are focused on establishing FTX as a trustworthy and innovative exchange by regularly engaging with regulators around the world, and constantly seeking opportunities to enhance our offerings for digital asset investors.”
In Sam’s words, FTX has partnered with investors that “prioritize positioning FTX as the world’s most transparent and compliant cryptocurrency exchange.”
About FTX
Founded in 2019, FTX is a Bahamian-based cryptocurrency exchange. It offers innovative products, including industry-leading derivatives, options and volatility products, tokenized stocks, prediction markets, leveraged tokens and an OTC desk.
As of October 2021, the cryptocurrency exchange is averaging $14 billion in daily trading volume and has over 1 million users.
FTX reveals that since its initial $1 Billion Series B round back in July 2021, its user base has grown 48% and its average trade volume has increased 75%.
Ramnik Arora, Head of Product at FTX, said:
“The additional capital and group of investors will let us provide the experience our users deserve and address other adjacent market opportunities including equities, prediction markets, NFTs and videogame partnerships. We expect to make strategic investments designed to grow the business and expand our regulatory coverage.”
Elaborating on the key developments, FTX said it moved its global headquarters from Hong Kong to Bahamas in September 2021. Additionally, the Company’s US-affiliate, FTX US, acquired CFTC regulated digital currency futures & options exchange and clearinghouse, LedgerX, and has recently launched a global NFT marketplace, FTX NFTs.
In July, Sam Bankman-Fried revealed that his cryptocurrency derivatives exchange is targeting the US as its next growth area.