In March, three cryptocurrency companies obtained some of the largest capital increases in the industry’s history. These are the top ten.
Getty
The cryptocurrency industry is hot. The total market value of cryptocurrencies is close to $ 2 trillion, which is greater than the market limits of Amazon, Google and Microsoft. Bitcoin has been trading above $ 50,000 since March 8 and has a market value of $ 1.12 trillion, almost as much as all the silver in the world. Institutions published by FOMO continue to pour into space. Tesla will begin accepting payments for its electric vehicles in bitcoins, adding the cryptocurrency to its $ 2.5 billion banknote. One of America’s oldest banks, BNY Mellon, has launched a digital asset unit, Goldman Sachs has relaunched its cryptocurrency trading operations, JPMorgan has introduced a structured notes offering tied to a stock basket with exposure to bitcoin, Morgan Stanley and Goldman Sachs have become the first major US banks to offer their wealthy customers direct access to bitcoin.
But at-risk institutions and companies that rush to charge the increase don’t arrive empty-handed. Capital deposits take advantage of cryptocurrency startups, minting new unicorns at a broken pace. Just in March, three crypto companies got some of the largest capital increases in the industry’s short but rich history. There are now at least 18 crypto-native companies with unicorn status, according to the data platform PitchBook.
Click here to subscribe to Forbes CryptoAsset & Blockchain Advisor
In the heyday of ICOs, companies raised billions but the hype was short-lived. Low-quality projects, multiple scams, and a lack of institutional and regulatory oversight led to what is now known as the Great Crypto Crash of 2018, when an index tracking the performance of the 10 largest and most liquid digital assets fell by 80%.
Crypto-bulls expect this time to be really different. Publicly listed companies like MicroStrategy and Square have amassed considerable bitcoin positions on their balance sheets and see it as an alternative to gold. Meanwhile, applications for a US bitcoin ETF are piling on the doorstep of the SEC and the bull market awaiting Coinbase’s direct listing scheduled for April 14, the first major public offering for a cryptocurrency company. In the middle of the frenzy, Forbes analyzed PitchBook data and compiled a list of the 10 largest venture capital offers for blockchain and crypto-native companies.
Bitmain: $ 422 million
Offer date: August 7, 2018
Round VC: Series B1
Notable investors: Crimson Capital China, Bluebell (Asia), Jumbo Sheen Group, Lioness Capital, Palace Investment Company, Pavilion Capital
Post-money valuation: $ 15 billion
Prior assessment: $ 12 billion
Bitmain, the world’s leading manufacturer of bitcoin mining hardware, Bitmain also operates Antpool, one of bitcoin’s leading mining pools, which accounts for more than 12% of the computing power or hash of the Bitcoin network. Shortly after raising $ 422 million in capital, the Beijing-based company applied for a listing on the Hong Kong Stock Exchange in September 2018, but supply fell amid falling bitcoins and market recovery.
BlockFi: $ 350 million
Offer date: March 11, 2021
Round VC: Series D.
Notable investors: Bain Capital Ventures, partners of DST Global, Pomp Investments, Tiger Global, Susquehanna Government Products
Post-money valuation: $ 3 billion
Prior assessment: $ 435 million
Founded in 2017, New Jersey-based BlockFi is now a leading provider of cryptocurrency loans. Its products fall into multiple categories, including cryptocurrency loans and interest-bearing accounts through which investors can earn interest on their holdings in cryptography. Rumors about the potential IPO of BlockFi began circulating last July after learning of a job opportunity, part of which was to help the company go public.
Dapper Labs: $ 305 million
Offer date: March 30, 2021
Round VC: 5th round
Notable investors: Managed by Coatue, Andreessen Horowitz, Michael Jordan and Kevin Durant
Post-money valuation: $ 2.6 billion
Prior assessment: N / A
The Vancouver-based startup is best known as the developer of NBA Top Shot, an NFT marketplace for featured videos or basketball “moments”. The project, which has already surpassed $ 400 million in trading volume, is primarily responsible for the boom of non-expendable tokens (NFTs), essentially digital proof of ownership traceable in a blockchain. Previously, Dapper Labs developed a popular Ethereum creative collectible game called CryptoKitties.
Blockchain.com: $ 300 million
Offer date: March 24, 2021
Round VC: Series C.
Notable investors: DST Global, Lightspeed Venture Partners, VY Capital
Post-money valuation: $ 5.2 billion
Prior assessment: $ 3 billion
Blockchain.com provides a wide variety of encryption services to institutional and retail customers, but is very famous for its custodial digital wallets. Unlike their third-party-controlled counterparties, these portfolios offer users complete control over their private keys that represent ownership of cryptographic assets. The London-based company claims to have processed 28% of all bitcoin transactions since 2012.
Bakkt: $ 300 million
Offer date: March 16, 2020
Round VC: Series B.
Notable investors: Intercontinental Exchange (ICE), BCG Digital Ventures, PayU
Post-money valuation: N / A
Prior assessment: N / A
In February 2020, the crypto company ICE (owner of the New York Stock Exchange) announced the acquisition of Bridge2 Solutions, a loyalty program provider, to drive Bakkt’s unique retail platform. The service, called the Bakkt app, allows users to add various digital assets, including loyalty points, reward programs, gaming resources and cryptocurrencies, all in one portfolio. In January, Bakkt announced that it would be made public through a SPAC merger with VPC Impact Acquisition Holdings for a business value of about $ 2.1 billion. Following the close of the deal in the second quarter of 2021, the combined company will be listed on the New York Stock Exchange as Bakkt Holdings, Inc.
Currency base: $ 300 million
Offer date: October 30, 2018
Round VC: Series E.
Notable investors: Tiger Global Management, Andreessen Horowitz, Government of Singapore Investment Corporation (GIC), Polychain Capital
Post-money valuation: $ 8.04 million
Prior assessment: $ 1.71 billion
On February 25, the largest cryptocurrency exchange in the United States applied for a direct listing on the Nasdaq Stock Exchange. Coinbase was valued at $ 68 billion, based on recent submissions. On March 19, the company received a $ 6.5 million fine from the Commodity Futures Trading Commission (CFTC) for allegations of false transaction information and trading transactions between 2015 and 2018 in its GDAX platform, later renamed Coinbase Pro The direct listing of the stock exchange is scheduled for April 14.
Bitmain: $ 292.7 million
Offer date: June 19, 2018
Round VC: Series B.
Notable investors: Sequoia Capital, Coatue Management, China Taijia, Blue Lighthouse Services
Post-money valuation: $ 12 billion
Prior assessment: $ 100 million
Hangzhou Qulian Technology: $ 235 million
Offer date: June 4, 2018
Round VC: Series B.
Notable investors: Xinhu Zhongbao Company, China Gaoxin Investment Group, State Development and Investment Corporation
Post-money valuation: $ 470.25 million
Prior assessment: $ 40.33 million
Qulian Technology provides blockchain products for major organizations and institutions in China, including the Ministry of Industry and Information Technology, the State Administration of Market Regulation, the state network and local governments. Its unique blockchain open chain BaaS platform, FiLoop, is used by some of China’s largest banks, including China Construction Bank, Agricultural Bank of China and China Merchants Bank, according to the company. Qulian Technology partners also include Google and Microsoft.
Bithumb: $ 200 million
Offer date: April 19, 2019
Round VC: 2nd round
Notable investors: Seer, ID Ventures (South Korea), ST Blockchain Fund
Post-money valuation: N / A, valued at $ 888.27 million in January 2021
Prior assessment: $ 868.42 million
In September 2020, the Seoul Metropolitan Police Agency allegedly stormed the offices of one of South Korea’s largest cryptocurrency exchanges for allegations of fraud, related to a $ 25 million token sale that never materialized. and caused losses for investors.
Ripple Labs: $ 200 million
Offer date: October 1, 2020
Round VC: Series C.
Notable investors: Tetragon Financial Group, SBI Holdings, Transform Capital, 10X Capital
Post-money valuation: $ 10 billion
Prior assessment: $ 410 million (2016)
In December, Ripple Labs and its top executives were accused by the U.S. Securities and Exchange Commission of selling $ 1.3 billion of XRP, the native payment network asset developed by the company, as unregistered security. Following the charges, several stock exchanges and trading platforms, including Coinbase, Binance.US and eToro, withdrew XRP and suspended trading. In January, UK-based investment firm Tetragon Financial Group filed a lawsuit to change its equity to Ripple, but eventually lost the case. Despite the consequences, XRP remains one of the most quoted digital assets.