The Indian crypto exchange CoinSwitch Kuber has raised $ 25 million in a series B financing round.
The round was supported by a single investor – Tiger Global Management – who marks its first investment in an Indian crypto company. Tiger invested with a valuation of over $ 500 million, CoinSwitch said.
CoinSwitch’s Series B comes just three months after raising $ 15 million in Series A spearheaded by Ribbit Capital and Paradigm. When asked why it was raised so soon, Sharan Nair, CoinSwitch’s chief business officer, told The Block that the exchange was going through a period of “hypergrowth” and needed funds to “scale quickly and grow more quickly.” reach and people how to reach coin base. “
It’s worth noting that Tiger Global is an investor in Coinbase who invested $ 500 million in the U.S. crypto exchange operator in October 2018. Nair told The Block that Tiger would share its expertise with CoinSwitch, as Coinbase did with its growth plans.
With fresh capital, CoinSwitch wants to scale its platform from a technology and security point of view, and enlarge its team and user base.
CoinSwitch claims it currently has 4.5 million users and plans to add 10 million more users by the end of this year. As for the expansion of its team, the exchange plans to more than double its number of employees from currently around 135 to around 300 in the near future, Nair told The Block.
“We primarily hire in technical and product roles,” he said.
CoinSwitch also plans to allocate a “substantial sum” to branding and raising awareness about cryptocurrencies. In addition, the exchange would like to offer trading in other asset classes. When asked if stocks were on the list, Nair told The Block that “the most popular asset classes” are being considered, but the plan is “very early in the valuation phase”.
“We would be exploring more asset classes so that users can diversify their investments with the right balance,” he said.
The Series B brings CoinSwitch’s total funding to over $ 40 million to date and its post-cash valuation to $ 525 million, Nair told The Block.
CoinSwitch’s increase comes at a time when India is reportedly looking to ban the use of cryptocurrencies. Nair recently told The Block that CoinSwitch hopes the Indian government won’t take such a move but is preparing for the worst.
If a ban is put in place, “the only option left is to move our base and serve another country,” he told The Block last month.
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