China Renaissance, an investment bank from mainland China, led the $100 million Series B funding round, which saw participation from other high-profile investors such as Tiger Global Management, Arena Holdings, DCM Ventures, and Gobi Partners. Coinbase’s venture arm previously backed the company and has participated in the round as well.
Amber Group began with an algorithmic trading and lending product offering to institutional investors, but has since diversified and now offers investors many different cryptocurrency products to invest in. Amber Group CEO Michael Wu told CNBC the company wants to bring a “private banking experience to the everyday customer.”
According to Wu, the company is set to reach revenue of $500 million by the end of the year, and has been profitable since its inception in 2017. Between 70% and 80% of its revenue comes from lending, while around 15% comes from trading fees.
Wu said the investment will be used to hire more employees and make strategic investments in areas such as cybersecurity. He revealed that Amber Group was looking to acquire smaller companies with regulatory licenses in certain jurisdictions, allowing it to enter new markets with ease.