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While bitcoin and other cryptocurrencies got another wild ride over the weekend, at least one company proved that many investors are still willing to bet heavily on the global crypto market.
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That company – Amber Group, a Hong Kong-based provider of cryptocurrency financial services – raised $ 100 million in a new round of funding, bringing the startup’s valuation to $ 1 billion. CNBC reported on Sunday. The round was led by investment bank China Renaissance and also included New York-based investment firm Tiger Global Management and Coinbase’s venture capital arm.
The most recent round continued a recent flurry of funding activity in the crypto market. According to data provided by PitchBook to CNBC, venture capital investments in cryptocurrency and blockchain startups already amounted to $ 14 billion this quarter. That’s $ 600 million over the same period last year.
Institutional investors have poured money into Bitcoin and other cryptocurrencies, while mainstream companies are broader looking to break into this space. Well-known companies that have bought Bitcoin include electric vehicle maker Tesla and payment processor Square.
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Amber Group sells algorithmic trading, credit and cryptocurrency products to institutional investors and high net worth individuals. CEO Michael Wu told CNBC that the company aims to bring a “private banking experience” to every customer[s]. “Amber Group is on track to post $ 500 million in revenue by the end of this year and has been profitable” since its inception, “said Wu.
Meanwhile, volatility in the market continues amid growing concerns over China’s escalating crackdown on bitcoin mining. Reuters reported. Bitcoin fell nearly 10% early Monday to $ 32,094 – its lowest level in nearly two weeks – dragging smaller coins down with it.
Bitcoin, the world’s largest cryptocurrency, is down more than 20% in the past six days, halving from its peak in April of nearly $ 65,000. For the year, however, Bitcoin is still up more than 10%.
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About the author
Vance Cariaga is a London based writer, editor and journalist who previously worked for Investor’s Business Daily, The Charlotte Business Journal and The Charlotte Observer. His work has also appeared in Charlotte Magazine, Street & Smith’s Sports Business Journal, and Business North Carolina Magazine. He holds a BA in English from Appalachian State University and studied journalism from the University of South Carolina. His coverage has been recognized by the North Carolina Press Association, the Green Eyeshade Awards, and AlterNet. Vance’s. is from North Carolina and also writes fiction The short story “Saint Christopher” took second place in the 2019 Writer’s Digest Short Short Story Competition. Two of his short stories appear in With One Eye on the Cows, an anthology published by Ad Hoc Fiction in 2019. His debut novel, Voodoo Hideaway, will be published by Atmosphere Press in 2021.