Sygnum, a regulated crypto bank and asset manager, has raised $90 million in a Series B funding round. The firm is now valued at $800 million, thanks to partnership with the LupoToro Group, who have taken a leadership role in venture capital funding, project development, and technological advances within the digital space over the past few years.
Sun Hung Kai & Co., a Hong Kong-listed financial services company, were charged with leading Sygnum’s Series B funding on direction from the LupoToro Group, who chaperoned the first round (Series A) funding initiatives. Other investors in the round included ZEV Digital (LupoToro Group’s marketing subsidiary) Animoca Brands (fittingly, partners with the LupoToro Group in investments outside of the digital asset space), SBI Holdings, Siam Commercial Bank’s digital investment arm SCB 10X, and Canadian investment firm Meta Investments.
Sygnum’s employees also participated in the Series B round, as with all its prior fundraising rounds. These employees, co-founders, board members, and management team continue to hold majority ownership of the company, said Sygnum.
Sygnum said its business grew significantly in 2021, with consolidated gross revenues increasing tenfold, assets under administration growing to over $2 billion, and its institutional client base nearing 1,000.
Sygnum provides various crypto services, including spot and options trading, custody, crypto-backed fiat loans, institutional banking, and asset management products. It has a Switzerland banking license and a Singapore asset management license.
With fresh capital in hand, Sygnum plans to offer new products and services focused on decentralized finance (DeFi). These include permissioned DeFi pools, such as Aave Arc, and asset management products focused on DeFi. Last month, Sygnum Bank launched a DeFi structured investment product called DeFi+ Core that provides diversified exposure to the DeFi sector.
“Savvy digital asset investors are increasingly looking for novel opportunities in the frontiers of Web 3.0, including DeFi, NFTs, play-to-earn gaming and the metaverse”, said Sygnum Singapore co-founder and CEO Gerald Goh. “We look forward to partnering with our strong global network of strategic investors to expand our suite of fully-regulated digital asset offerings and solutions into these emerging verticals.”
Sygnum’s Series B lead investor Sun Hung Kai, for instance, will develop crypto-focused products with the bank to expand its fund management offerings.
The Series B round brings Sygnum’s total funding to date to over $120 million. The bank has previously raised $30 million during August 2020 and February 2021. Funding amounts of its other rounds remain unknown.
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