Fireblocks attracted $ 133 million worth of cryptocurrency startups in a Series C funding round.

The investment round was led by venture capital firms Quato, Repet and Stripes, while strategic investments were made by BNY Mellon and Silicon Valley Bank.

Fireblocks CEO Michael Shaulov said the cash injection would allow the company to expand the settlement infrastructure it needs for new customers as the adoption of cryptocurrency accelerates:

“Although we do not plan to become a bank, we believe that our infrastructure will ideally renew itself to enable a new era of financial services.”
As for the company’s investment in Fireblocks, “We’re on the verge of the biggest transformation the global financial system has ever seen,” said Mickey, owner of Ribbit Capital, adding that Fireblocks is “the vanguard of this revolution”.

Usually, C-Series funding goes to more complex projects that have already achieved a reasonable degree of success. These companies need extra capital to expand their products and services to new markets or even gain other business.

Fireblocks was founded in 2018 by veterans of Israeli military intelligence, including Michael Shaulov, who previously co-founded the company Be a Mobile Security. The company specializes in preserving digital assets and is also working to increase the speed of digital transactions. According to the Wall Street Journal, the latest round of funding increased Fireblocks’ value to more than $ 900 million, with the company raising $ 179 million so far.

Fireblocks have become a magnet for venture capital firms looking to capitalize on the growing institutional demand for Bitcoin (BTC) and other cryptocurrencies. Prior to the Series C fundraiser, Fireblocks had already raised $ 179 million from investors such as Galaxy Digital, Swisscom Ventures, Paradigm, Tenaya Capital and Cyberstarts.

With Fireblocks, banks and fintech companies can benefit from the cryptocurrency market by offering solutions for storage, cryptocurrency, asset management, trading, lending and payment. Since its inception three years ago, the company has announced the acquisition of $ 400 billion in digital assets on behalf of its customers. His institutional clients include Nexo, Celsius, BlockFi, Salt and Coinsquare.

BNY Mellon is not the only banking organization preparing to launch a cryptocurrency storage solution. Deutsche Bank also plans to switch to cryptocurrency, as well as offer trading services and issue tokens.

Brian Rutledge, associate professor of economics at Carnegie Mellon University, said that preserving the cryptocurrency is not much different from the traditional services already provided by old banks. He said that storing a public / private key pair is important, but it is “not that difficult” or should not be for most banks.

Source: CoinTelegraph