Cryptocurrency Dealer SFOX Raises $22.7M USD In Series A Funding

Investing, News | August 17, 2018 By:

Cryptocurrency dealer SFOX has raised $22.7 million in a Series A funding round led by Tribe Capital and Social Capital. Other investors include Y Combinator, Khosla Ventures, DHVC, Blockchain Capital, Upside Partnership, SV Angel, DCG, Mark Britto, and Airbnb Co-Founder Nathan Blecharczyk.

Founded in 2014, a cryptocurrency dealer that provides professional traders and institutional investors higher returns when trading large volumes, through smart routing and a global integrated order book. The company claims that it has facilitated over $9 billion in transaction volume so far, and has seen its client base grow 12-fold since the beginning of 2018.

The company plans to use the funds to build rails and infrastructure to deliver a family of products that brings additional durability to crypto asset management. These include advanced security and risk management products, additional infrastructure and support, and licenses to access new markets. The ultimate goal of the company is to become the premier institutional crypto asset management platform.

Akbar Thobhani, CEO of SFOX, said that institutions need a full service asset management platform that meets the unique needs of cryptocurrency.

“This is not being fulfilled by traditional tools and current platforms,” said Thobhani. “We’re in a great position to provide these rails. This investment will allow us to pursue this evolution.”

Tribe Capital Co-Founder and Partner Arjun Sethi, who will be joining SFOX’s board, said that liquidity represents one of the most significant barriers to institutional cryptocurrency adoption.

“What has always excited us about SFOX and differentiates them from other players is that they provide access to a global integrated order book, sourced from exchanges, OTC desks, and market makers,” said Sethi. “This means institutions can trade from a single account and have the ability to buy and sell high volumes without impacting prices. This is exactly what institutional investors looking to embrace cryptocurrencies need today and in the future, as the ecosystem becomes more fragmented.”