CoinDCX, a crypto exchange startup, has closed a funding round of $90 million led by B Capital that is an investment wing of Facebook co-founder Eduardo Saverin. After closing the current round, CoinDCX’s valuation has surged to $1.1 billion and became the first Indian unicorn to join the unicorn club.
CoinDCX is India’s First Crypto Unicorn
Indian startup has shown tremendous growth in 2021. Global and Institutional investors are pouring a lot of money into the Indian startup ecosystem. In a recent development, CoinDCX has become the twenty-second unicorn of the current year by closing a financing event of $90 million (Rs 670 Crore). Not only that, but the crypto startup also became the first crypto unicorn of India. Now, CoinDCX’s valuation has reached around $1.1 billion.
CoinDCX’s Series C funding round was led by Facebook co-founder Eduardo Saverin’s B Capital Group as well as Coinbase Ventures, Polychain Capital, Block. one, Jump Capital among others. Some unnamed investors also actively participated in the current fundraising event.
Answering a question related to funding utilization, CoinDCX revealed that most of the funds will be used to create awareness about crypto in India.
CoinDCX‘s CEO and co-founder Sumit Gupta also released his official statement and said, “The funds raised will be allocated to expand (bring more Indians to crypto / make crypto a popular investment asset class in India) and strengthen our workforce that will cater to our growth story. We will hire talent across multiple functions, and focus on new business initiatives.”
About CoinDCX and Crypto Market
Founded in 2018 by Sumit Gupta and Neeraj Khandelwal, CoinDCX closed the last funding round in December 2020 where it raised $13.5 million in its Series B funding round. It has over 3.5 million users on its online platform, as per the startup’s claim. The startup has different online apps for investment purposes. For example, CoinDCX Go is a crypto investment platform run by CoinDCX, whereas CoinDCX Pro is launched for professional trading. DCX Learn is a crypto-centric investor learning platform, helps beginners to know about the crypto world more.
The firm also revealed that the company is planning to launch CoinDCX Prime within months for enterprise customers, providing legally vetted and safe investments, while the Cosmex platform will be launched for trading global products.
The crypto industry has surged exponentially during pandemics. As per the reports, the crypto market has skyrocketed to $2 trillion by mid-May of 2021 compared to $200 billion in March 2020. That is almost a 10x surge in its market value within one and a half years.
The crypto growth is phenomenal despite confusion among investors due to its volatile nature and no proper terms and conditions globally and in India.
WazirX, a leading crypto platform in India, has also claimed 10x growth within five months. It recorded. $5.4 Bn in transaction value in April this year, up from $500 Mn in December 2020.
In India, the crypto market does not have any proper rules and regulations. The Indian government is also not in the favor of cryptocurrency exchange and the crypto platforms are in touch with the officials to implement the necessary rules and regulations for crypto exchange.
Recently, Indian officials sent a show-cause notice to WazirX for illegal transactions and money laundering via its platform. While In a recent petition, Delhi High Court has issued notice to WazirX, CoinDCX, CoinSwitch, Securities and Exchange Board of India (SEBI), and the Ministry of Information and Broadcasting about advertising for crypto apps. The petitioner claimed that these apps don’t have adequate standardized disclaimers. The next hearing will take place on August 31.
