Crypto exchange FalconX raises $17 million from investors including Coinbase Ventures

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Crypto exchange FalconX raises $17 million from investors including Coinbase Ventures

Bitcoin and crypto exchanges are not affected by the economic crisis and some even manage to raise large amounts from investors.

Thus, FalconX crypto exchange managed to raise no less than $17 million from investors such as Accel, Accomplice VC, Coinbase Ventures, Fenbushi Capital, Flybridge Capital Partners, Lightspeed Venture Partners, and Avon Ventures, a fund of venture capital affiliated with FMR LLC, the parent company of Fidelity Investments.

Created in 2018 by Raghu Yarlagadda and Prabhakar Reddy, this cryptocurrency exchange has attracted more than a hundred institutional customers as indicated in its press release.

In the past 10 months, FalconX has generated $7 billion in global trade volume at a quarterly growth rate of over 600%!

Among FalconX’s clients, there are more than 100 financial institutions through traditional finance, hedge funds, trading companies, payment gateways, over-the-counter (OTC) trading desks, cryptocurrency miners and crypto exchanges.

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This revenue and client portfolio certainly explain the enthusiasm of the investors who participated in this $17 million funding round.

Raghu Yarlagadda, co-founder and CEO of FalconX CEO, said:

We’re entering an era defined by the true digitization of value – whether Bitcoin, Ethereum or new experiments such as Libra, or Digital Yuan – much like what we saw in the early 2000s with the digitization of information on the internet. For open, permissionless and truly global digital assets to be adopted by mainstream institutions, today’s digital financial infrastructure is grossly inadequate.

FalconX is building the connective tissue, with seamless price discovery, trade execution, and value transfer. Our technology will provide the infrastructure for the future of digital assets.”

The fundraising should allow FalconX to create new products and accelerate its development.

Shekhar Kirani, General Partner at Accel who participated in the funding round, says:

FalconX demonstrated exceptional growth with institutional counterparties through their focus on technology and reliability during volatile market conditions. They’ve proven themselves at scale without compromising on enterprise-grade security and high compliance standards – capturing a tremendous opportunity to serve the next generation of institutions looking to enter the digital asset space,”

Growing crypto exchanges with ever more customers, individuals or institutions, who are investing in Bitcoin and cryptocurrency trading.

Binance and Kraken have seen their number of customers increase sharply and are currently recruiting hundreds of people.

The Coronavirus/Covid19 crisis has indeed brought a wave of new customers attracted to Bitcoin trading, with the help of crypto trading bots and Bitcoin bots in particular.

Billionaire investor Paul Trudor Jones has publicly stated that he has invested 2% of his capital in Bitcoin futures, about $100 million.

Etoro has just reached the milestone of 13 million customers as mentioned in our article published today.