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Cryptocurrency lender Celsius Network has secured $400 million through a new equity funding round, which increased the company’s valuation to around $3 billion, Celsius said in a press release on 12 October.

According to the announcement, the investment was led by Caisse de dépôt et placement du Québec (CDPQ), one of Canada largest pension funds, and growth equity firm WestCap. The CEO of Celsius Network, Alex Mashinsky, told the Financial Times that the funding round was less about the investment, and more about the “credibility that comes with the people who wrote those cheques”, expressing his hope that regulators will be reassured about the stability of the lending company. Mashinsky also said in a statement:

“We are pleased by the response we received from many leading financial investors during this fundraise. The partnership with WestCap and CDPQ puts Celsius in a position to grow and further its mission to leverage blockchain technology to connect and decentralize the traditional finance.”

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The newly acquired funds will help Celsius Network continue to expand its products — which includes the development of new institutional grade products and offerings — as well as expand globally through strategic acquisitions. In addition, the company also plans to increase the size of its team from the current 486 employees, to nearly 1,000 globally.

Founded in 2017, the Celsius Network has become one of the largest crypto lending platforms on the market, having more than $25 billion in assets. The company also claims to have paid out around $850 million in interest to the more than 1 million registered customers on the platform through its Earn product.

While the company initially operated from the U.K., in June it revealed it will be moving its headquarters to the United States. Since then, regulators from several states in the U.S. — including Texas, New Jersey, Kentucky, and Alabama — have proceeded with issuing warnings to the company, claiming it had violated local securities laws.

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