CoinDCX tops $2 billion valuation- has risen to $2.15 billion!

CoinDCX tops $2 billion valuation – Overview

CoinDCX’s valuation has risen to $2.15 billion (post-money) in eight months following a new $135 million fundraising round.

In the world’s second-largest internet market, the Indian cryptocurrency exchange is looking to aggressively grow its product offerings and talent base, including some to double down on compliances.

Steadview and current investor Pantera lead CoinDCX’s Series D investment, according to the business.

In addition, the Mumbai-based startup’s latest round of fundraising included investors such as Coinbase Ventures, Kingsway, DraperDragon, Republic, and Kindred.

To date, CoinDCX has raised about $245 million.

CoinDCX tops $2 billion valuation
CoinDCX tops $2 billion valuation

After becoming the first Indian crypto firm to achieve unicorn status last year, the startup claims to have amassed over 10 million users.

Customers can buy numerous tokens for as little as 100 Indian rupees ($1.3), participate in margin trading, and stake digital assets on CoinDCX.

In an interview with TechCrunch, Sumit Gupta, co-founder and chief executive of CoinDCX, said, “What is unique about this round is the kind of investors that are coming in and the kind of strong confidence they have exhibited on the market.” “It’s a big boost for the industry as a whole.”

The startup’s new funding comes only weeks after New Delhi’s crypto taxation legislation, which imposes a 30% surcharge on income, took effect.

According to publicly accessible trackers1, the rule, which includes a 1% tax deduction at source for each trading, has significantly influenced all crypto exchange trading volumes.

CoinDCX has been impacted by the new move, according to Gupta, who claims that the 1% TDS has made it more difficult for some high-frequency traders to conduct business.

These traders account for a large portion of the trading volume. “New people continue to join the platform,” he added, “but the growth pace is not as high as two months ago.”

He stated that the company intends to increase its compliance efforts. “We’ll do all it takes to give the regulators more confidence.”

CoinDCX, which has B Capital as a backer, is also trying to increase retail investor education and contribute to the local ecosystem’s expansion.

According to Gupta, the firm would fill its eponymous app with instructive information and byte-sized films.

CoinDCX has just announced a new plan that allows consumers to spend a certain amount on fresh product offers every few days.

The purpose of the feature is to help consumers better understand long-term investing and build a habit. The service, introduced late last month, has already attracted over 100,000 users. “As a result,” he continued, “we’ll keep adding more.”

CoinDCX tops $2 billion valuation
CoinDCX tops $2 billion valuation

Wealth management opportunities such as mutual funds and equities are among the items that are unlikely to appear on CoinDCX.

CoinDCX’s sole focus, according to Gupta, is crypto. “As a business, we’re enthused about a category that has a bright future.” “We will continue to focus on cryptography rather than exploring topics that have already been solved,” he stated.

CoinDCX also plans to increase its workforce considerably. The company currently employs around 400 people and plans to grow to 1,000 by the year.

“This is a problem that I, as a founder, have a lot of experience with.

Talent is scarce. A small number of persons have worked in the crypto industry. “How can we create a framework that allows more people to understand and contribute to the ecosystem,” Gupta added.

The exchange, which is one of India’s most extensive and also powers the order book of rival Andreessen Horowitz-backed CoinSwitch Kuber (valued at $1.9 billion), is also looking into launching a ventures arm, as other global exchanges like Coinbase, FTX, and Binance2 have done, Gupta said.

Still, it’s not something CoinDCX is planning to do anytime soon. “We have the proper infrastructure and distribution,” he said, “it’s very much in the cards.”

“Since our initial investment in 2021, we have been impressed by CoinDCX’s vision to build a thriving Web3 ecosystem in India, and it has been our pleasure to support the team’s execution in building the most customer-centric and feature rich crypto exchange in India,” said Ravi Mehta, managing director of Steadview, in a statement.

CoinDCX tops $2 billion valuation
CoinDCX tops $2 billion valuation

“We’re excited to increase our investment to help one of India’s most popular Web3 firms flourish.”

CoinDCX, unlike Binance, which has its coin, BNB, and FTX, which runs FTT, is not planning to launch its native currency, according to Gupta.

“We don’t want to create a token just for creating one.” However, a token is a good option when you want to receive the network effects faster.

It’s something you try to fix early on with extensive adoption. We’re already doing reasonably well, in my opinion.

We take great care when introducing new features or products because they are irreversible.

I’ve been reminding the team that if we do something, we should do it right,” he added, referring to exchanges like Coinbase and Kraken that don’t have their coins.

CoinDCX has announced a partnership with Solidus Labs and Coinfirm, two crypto-native trade surveillance and market integrity players, to boost its anti-money laundering protection and enable “accurate and holistic” identification and reporting of suspicious actions.

In addition, CoinDCX claims that these agreements will help it comply with the Financial Action Task Force’s (FATF) standards.

The problem with relying on CoinMarketCap and many other prominent trackers is that they frequently rely on partial data provided by exchanges.

According to an industry insider, most exchanges do not provide accurate numbers to public trackers.

Coinbase Ventures has a presence in India, having invested in CoinDCX and CoinSwitch Kuber.

FTX Ventures is in talks with several Indian businesses about possible partnerships. MPL, a fantasy startup, is one of them, as TechCrunch revealed earlier this month.

Binance, a famous cryptocurrency exchange in India, has avoided chiefly investing in Indian firms.

It did, however, buy WazirX, a renowned Indian cryptocurrency exchange.

ALSO, READ| Breaking News- Tesla No Longer Comes With Gen 2

CoinDCX tops $2 billion valuation
Leave A Reply

Your email address will not be published.