Crypto startup Amber Group hits $1 billion valuation on fresh fundraising, as famed hedge fund Tiger Global joins Coinbase as backer
Chris McGrath/Getty Images
- Crypto startup
Amber Grouphas hit a $1 billion valuation after a $100 million fundraising round.
- Famed hedge fund
Tiger Globalinjected cash, as did Chinese bank China Renaissance.
- It's the latest sign of institutional interest in crypto startups, which continues despite
AdvertisementCrypto investment startup Amber Group has hit a $1 billion valuation after a $100 million fundraising round that saw famed hedge fund Tiger Global Management invest in the Coinbase-backed company.
The round was led by Chinese bank China Renaissance, while Tiger Brokers, Arena Holdings and DCM Ventures also injected money, Hong Kong-based Amber Group said on Sunday.
Amber Group is now worth more than 10 times what it was in 2019, when the company raised $28 million at a $100 million valuation. Its $1 billion valuation makes it a so-called tech unicorn.
The startup said it's expanding its operations globally to bring its crypto financial services to more customers around the world.
Founded in 2017 by a group of ex-Morgan Stanley traders, Amber Group provides institutional investors with a range of ways to get involved in the crypto world. It offers trading, lending and asset management products, among others.
Between 70% and 80% of Amber's revenue comes from the spread between the company's deposits and loans, CNBC reported, while around 15% comes from trading fees.
The fundraising round is the latest sign of institutional interest in the crypto space, which is continuing despite the recent crash in the bitcoin price.
Tiger Global, which earned investors more money than any other hedge fund in 2020, also invested in Chinese crypto lender Babel Finance in a $40 million fundraising in May. The hedge fund was founded by Chase Coleman, a protege of Tiger Management boss Julian Robertson.
In April, Ethereum-focused development company ConsenSys raised money from JPMorgan and UBS, among other investors.
For a more in-depth discussion, come on over to Business Insider Cryptosphere — a forum where users can deep dive into all things crypto, engage in interesting discussions and stay ahead of the curve.
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