Cryptocurrency exchange startup CoinDCX said it has raised Rs 100 crore ($13.9 million). The series B round was led by Block.one and included DG, Jump Capital, Uncorrelated Ventures, Coinbase Ventures, Polychain Capital, Mehta Ventures and Alex Pack.
The new funds will be used for product innovation including development of a newly launched Bitcoin & Crypto Investment App CoinDCX Go, said a senior executive.
This makes for the third round of funding for CoinDCX in 2020. In March 2020, CoinDCX raised Series A funding worth $3 million from companies such as Polychain Capital, Bain Ventures and Bitmex. In May 2020, the exchange raised $2.5 million in a strategic round from the above companies as well as Coinbase Ventures, the investment arm of San Francisco-based cryptocurrency trading platform Coinbase. Compiling all three rounds of funding this year, CoinDCX has raised close to $19.4 million, till date.
“This has been the most exciting year for CoinDCX. While the pandemic forced everyone indoors, CoinDCX scaled up exponentially and continues to do so. Our team tripled in number from 30 in March to 90 in December, and we are continuing to hire aggressively,” said Sumit Gupta, CEO and co-founder of CoinDCX.
“The funds raised in the past as well as the current round will help us develop our newly launched Bitcoin & Crypto Investment App CoinDCX Go and make it the easiest and the safest way to onboard the everyday Indian into cryptocurrencies,” he said.
“Leading up to 2020, interest in digital assets was growing consistently as more investors explored these new liquidity options. With the global events this year, we're seeing this trend accelerate exponentially, as both institutional and individual investors embrace these new asset classes to diversify their portfolios. With the increased interest in digital currencies, CoinDCX's role in making cryptocurrencies accessible to everyone in the world's second most populous country is even more vital,” said Brendan Blumer, the CEO of Block.one, developer of leading blockchain protocol EOSIO.
Olaf Carlson-Wee, Founder of Polychain Capital, a returning investor said, “We have worked with CoinDCX in the past and we are really impressed with the amount of development, thecompany has carried out. With a seasoned team that is growing, CoinDCX is poised to strengthen its position as the largest crypto company in India.”
CoinDCX claimed that it witnessed a momentous growth in the past few quarters. While the exchange had been seeing a steady growth consistently, it hit its stride in the past six months.
The exchange saw 3X growth in the overall volume traded and saw 4X quarter-over-quarter growth in daily active users, in the Apr-Jun quarter. Overall in Q2 and Q3, CoinDCX saw 12% increase in signups and 20% increase in volume. CoinDCX saw 21% Month on Month (MoM) growth in trade volume and 25% MoM growth in the number of users, in October.
Saurabh Sharma, General Partner at Jump Capital said, “India is an emerging market for cryptocurrencies and CoinDCX is spearheading the cryptocurrency adoption in India. As one of CoinDCX's investors, we are proud and heartened to see the exchange evolve in such a short span of time.”