Alchemy Reaches $10B Valuation Following $200M Funding Round
- Alchemy has almost tripled its valuation since October, when it raised $250 million in a Series C funding round at a $3.5 billion valuation.
- The new funding will be used to accelerate the adoption of Web3, and will help Alchemy put more resources towards its Web3 University and free-tier for new developers in the space.
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Web3 development platform Alchemy is now valued at $10.2 billion, following its latest funding round that added $200 million to its reserves, the company said in a press release on 8 February.
According to the announcement, the funding round was led by venture capital firm Lightspeed and private equity firm Silver Lake, and also saw participation from previous major investors such as a16z, Coatue, Addition, Pantera, and DFJ. The new funding comes only a few months after Alchemy reached unicorn status through its $250 million Series C, which at the time valued the company at around $3.5 billion. The CEO and co-founder of Alchemy, Nikil Viswanathan, said in a statement:
“2021 was the year developers took Web3 mainstream and created businesses that are transforming the lives of millions. In 2022, we’ll be doubling down on our commitment to supporting developers globally, making it easier than ever to unlock the potential of Web3.”
The company noted that its new valuation reflected the “incredible growth in Web3 businesses being built on the Alchemy platform”, with the company experiencing more than 300% increase in teams building on its platform since October. It has also seen an incredible growth in its annualized on-chain transaction value, which back in October was at $45 billion but now stands at around $105 billion.
The newly acquired funds will help Alchemy invest into further spreading Web3 adoption. Specifically, the company will put more resourced towards its Web3 University — an open educational resource for learning Web3 — and its new free-tier for new developers in the space. It will also fund Alchemy Ventures to help accelerate the growth of new Web3 businesses, and launch a new NFT API making it easier for developers to integrate NFTs on their websites.
- The popular web3 wallet has partnered with NFTBank, a firm building NFT price-tracking tools, in order to make the new feature possible.
- NFTBank claims it can offer over 90% accuracy on its prediction thanks to its machine learning algorithm that takes into account floor price, rarity, and bid/ask distribution for NFTs.
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- The “Blockchain Node Engine” was designed to be a fully managed service that would help Web3 developers build and deploy new products for the blockchain.
- It features a number of security features, such as Google’s Cloud Armor that helps prevent DDos attacks from slowing down a network.
- Google Cloud will enable crypto payments early next year, though the feature will initially be available only to a select group of customers already active in web3.
- As part of the deal, Coinbase has agreed to move some of its data-related applications from Amazon Web Services to Google Cloud.