Bitcoin broker NYDIG's $1 billion fund-raising round could be biggest ever for crypto sector

• Crypto investing firm NYDIG raised $1 billion in its latest funding round.
• Investors include big institutions like Morgan Stanley and MassMutual.

NYDIG has raised $1 billion in what is among the largest crypto fundraises ever.

Bitcoin investment firm NYDIG's mammoth funding round catapults it to a whopping valuation of over $7 billion, per a Tuesday press release.

The company said the funding round was led by growth equity firm WestCap, along with a slate of high profile investors including Morgan Stanley and MassMutual.

"The prospects for both NYDIG and Bitcoin have never been more exciting," said co-founder and CEO of NYDIG, Robert Gutmann in a statement.

The firm said the new capital will be applied to its "institutional-grade bitcoin platform" and integrating features such as Bitcoin Lightning payments, asset tokenization, and smart contracts.

NYDIG is capping off a year of massive growth and a series of powerful business partnerships. The firm said they are a leader in "expanding access to bitcoin for millions of people."

The $1 billion raised by NYDIG beats out the $900 million raised by Sam Bankman-Fried's FTX in July. Bankman-Fried's crypto exchange was valued at about $25 billion.

"Our roster of partnerships and strategic investors lays the foundation for NYDIG to become the leading provider of Bitcoin solutions for businesses in any industry, and this new equity capital will further accelerate progress towards making this exciting network accessible – and useful – to all," Gutmann said.