Paxos, the cryptocurrency exchange has raised another $300 million in a Series D funding round taking their valuation to $2.4 billion. The funding round was led by Oak HC/FT and saw participation from early investors like Declaration Partners, PayPal Ventures, and Mithril Capital. The Series D funding round comes just months after the company had raised $42 million in a Series C funding round in December last year.
The cryptocurrency platform has now raised a total of $500 million in 4 funding rounds and joins the growing league of crypto companies with a multi-billion dollar valuation. The firm would ne utilize the fresh capital towards team expansion and infrastructure enhancement. Chad Cascarilla, CEO and founder of Paxos said,
“We want to be able to invest in the team and the platform. Those clients want to make sure we are well-capitalized. These are the things we want to take advantage of in that window of opportunity.”
The Rise of Crypto Firms into Multi-Billion Dollar Companies
This bull season has not just led to cryptocurrencies reaching their new highs and the crypto industry growing into a nearly $3 trillion industry, the widespread adoption of crypto assets has also led to soaring demand for crypto service providers. The soaring mainstream demand and growing recognition have also helped these crypto companies raise millions of dollars leading to multi-billion dollar valuation. Apart from Paxos, Chainalyis and BlockFi also became billion-dollar firms after their latest funding round.
Coinbase, one of the largest crypto exchanges based out of the US created history with its public debut on Nasdaq just a couple of weeks ago with a $98 billion valuation. Apart from Coinbase several other crypto companies are either financing a public debut soon or have already done so. The aggressive pace at which these crypto companies have grown this bull season shows signs of growing mainstream adoption.