Altcoin News: Circle Seeking to Additional $250 Million Investment

March 4, 2019, by Marko Vidrih on ALTCOIN MAGAZINE

One of the largest cryptocurrency startups, Circle, which is the operator of the popular Poloniex exchange, plans to raise an additional $250 million in investment and is seeking new sources of capital.

According to CEO Jeremy Allaire, this step is not associated with financial difficulties. In an interview with The Information, the portal stated that although along with the fall in the cryptocurrency market and the volume of trading on the Circle Trade platform also decreased, the company’s revenue gradually grew throughout 2017 and 2018.

The over-the-counter Circle platform is in demand among private and institutional clients. Last year, over 10,000 transactions were conducted between 600 users who, trading 36 cryptocurrency assets, created a total trading volume of $24 billion. The company’s leaders concluded that Circle had become the main supplier of liquidity for the entire cryptocurrency industry, including miners, exchanges, venture capital firms, developers and project founders, hedge funds and family fund managers around the world.

While other cryptocurrency companies are forced to cut costs due to declining profits, including around five offices in Circle, three of which are located in Boston, New York, and London, employ about 300 employees. At the same time, in October, company executives announced the acquisition of the SeedInvest crowdfunding platform.

Recall that the cryptocurrency startup created in 2013 attracted $240 million investment from Goldman Sachs, Chinese Internet giant Baidu, venture capitalist Jim Breyer, and others. In June 2016, the company was valued at $480 million, and in May last year, representatives of Circle informed the public about the completion of the next round of financing, during which they managed to attract $110 million from the manufacturer of mining equipment Bitmain and a number of venture funds, including Breyer Capital, Tusk Ventures, IDG Capital, Pantera, and Blockchain Capital. Then the company was valued at $3 billion.

Author: Marko Vidrih

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