- Coinbase valued at $8 billion after Series E Funding Round
- Aims to accelerate the adoption of cryptocurrencies and digital assets
- Investments led by Tiger Global Management
- Andreessen Horowitz, Y Combinator, Continuity, Wellington Management, and Polychain participate
U.S.-based cryptocurrency exchange Coinbase has raised $300 million in a series E funding round bringing its valuation to over $8 billion.
The crypto operator announced on Tuesday that it just conducted an equity round funding in which it received a total of $300 million to help in its pioneering effort in the crypto sector in the U.S. and beyond.
The funding round was led by Tiger Global Management and counted the anticipation of notable cryptocurrency investor Andreessen Horowitz. Other investors mentioned included Y Combinator, Continuity, Wellington Management, and Polychain.
In a press statement published on its website, Coinbase noted that the aim of the investment round was to “accelerate the adoption of cryptocurrencies and digital assets.”
The post read:
“We see tremendous promise in crypto to build the next great phase of the internet (often referred to as Web 3), which has the power to put control back in the hands of consumers, unleash a new era of innovation, and offer greater access to economic opportunities to more people around the world.”
The exchange outline four major areas where the newly obtained finance will be put to work. Firstly the exchange says it will continue to expand its global operations. As Smartereum reported, the exchange had improved its services in the United Kingdom after allowed users in the UK to deposit and withdraw funds directly in the British pounds removing the complex process that involved converting it Euros. The exchange recently announced that it was on track to get an operating license in Japan where cryptocurrency exchanges are regulated by the Financial Service Agency (FSA). The exchange explained it will build infrastructure between fiat and crypto in regulated markets around the world.
Secondly, Coinbase said it the new funds will help it “lay the groundwork” to support thousands of cryptocurrency in the future echoing earlier remark by its CEO Brian Armstrong that the exchange will handle that number of crypto assets in the future.
Also, the exchange said it is working to bring utility applications to crypto pointing to its recent adoption of circle’s stablecoin [USDC] which is pegged to the U.S. dollar.
Finally, the firm says it will boost its services for institutional investors following the latest funding round. Coinbase had released a set of tools targeting institutional investors including its crypto custody, Coinbase Custody. As Smartereum reported, Coinbase is also reportedly looking to recruit a lot of staff for its newly opened New York office which will be the hub of activities for institutional investors.
A lot has been said of the emergence and growth of crypto firms like Coinbase since the bitcoin and cryptocurrency became popular past few years.
Asiff Hirji, President & COO of Coinbase remarked:
“We see Coinbase’s growth as validation that the ecosystem will only continue to grow in size, influence and impact — ultimately ushering in a more open financial system for the world.”
The company raised $100 million in its last funding round—a series D round held last year—which brought the company to an estimated valuation of $1.6 billion at the time.