Crypto Bank BlockFi Hits $ 3 Billion Valuation After $ 350 Million Rise

BlockFi, one of the major crypto lenders, upped the amount gigantic in a recent Series D cycle.

BlockFi’s big day

Crypto lender BlockFi has raised more than $ 350 million in a Series D cycle and is now valued at over $ 3 billion, the company said in a Release today. The company is one of the few reputable ‘CeFi’ companies that allow people to earn a return on their cryptocurrencies – 6% on Bitcoin and over 8.6% on stablecoins.

The Series D fundraiser was co-led by Bain Capital Ventures, partners of DST Global, Pomp Investments and Tiger Global co-led Series D. Other participating funds were existing funder Valar Ventures, Breyer Capital, Susquehanna Government Products, Jump Capital, and Paradigm, among many others.

Founded in August 2017, BlockFi is a secured non-bank lender that offers USD loans to cryptocurrency owners who further secure the loan with their crypto assets. Its products bring additional liquidity to the blockchain industry and are useful to both individuals and institutions holding cryptocurrencies.

The company operates its own institutional lending service and provides transaction execution services to institutions participating in the crypto markets.

“In less than six months since we completed our Series C, Bitcoin and other digital assets have assumed a central role in the portfolios of many investors and in the broader financial markets,” Zac Prince said in a statement to TechCrunch. He added:

“Our belief that digital assets are the future of finance has been confirmed by our customer base, which has grown 10-fold year over year in 2020 and more than doubled since late 2020.”

But why $ 350 million?

The company has now raised over $ 450 million over four rounds, including $ 100 million on its Starter and Series C rounds. The company holds its clients’ Bitcoin and Ethereum with a registered custodian and issues loans in USD to their bank accounts. And although it scored $ 350 million today, the amount is a big jump from an increase of just $ 50 million last year in August.

So why the big check? According to data provided in a statement, BlockFi has seen its customer base grow from less than 10,000 to over 225,000 in just two years, with more than 265,000 funded retail customers and more than 200 institutional customers to date.

Its total loans exceeded $ 10 billion, split among retail, corporate and institutional clients. Meanwhile, the company increased its assets under management from $ 1 billion last year to $ 15 billion, with a 0% loss rate on its entire loan portfolio since its inception. His income has thus increased by more than $ 50 million per month.


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