Hong Kong-based crypto services provider offering digital asset lending Babel Finance has completed a new funding round.
The investment increased the company’s market valuation to $2 billion, informs Reuters agency. The largest investors were venture capitalists from Dragonfly Capital, 10T Holdings, BAI Capital, Circle Ventures and Jenerations Capital. Among the investors were also companies from the Asia-Pacific region.
Babel previously closed a $40 million round with Tiger Global Management as the main contributor.
According to Babel Finance CEO Del Wang, the cryptocurrency market is full of hidden risks, but at the same time it opens up huge opportunities. Therefore, the company continues to work in this industry – because the team believes in the success of the industry:
“In terms of short-term gain, the retail market and altcoins could have a higher rate of return, however, we are long-term focused and strive to lead the way in financial services and innovation. The digital asset sector has become more institutionalized. Therefore, we will seek to participate in building the fundamental financial order and rules for the industry.”
Babel Finance has already applied for a license in other countries such as Luxembourg and the UK. The company currently serves more than 500 clients, ending 2021 with a loan balance of over $3 billion and an average monthly derivatives trading volume of $800 million.
Previously, investment bank JPMorgan Chase & Co launched a pilot project using blockchain to calculate collateral for loans and borrowings.
Source: Bits
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