SFOX Crypto Dealer Backed by Airbnb Co-Founder Nathan Blecharczyk
SFOX institutional crypto dealer has received support from Airbnb co-founder Nathan Blecharczyk, Y Combinator, Danhua Venture Capital, Digital Currency Group, amongst others.
SFOX is a cryptocurrency dealer that is looking to provide services for institutional investors. The cryptocurrency firm recently closed its Series A round of funding, where it raised $22.7 million.
The platform announced yesterday that its latest round of funding was spearheaded by Tribe Capital and Social Capital.
SFOX further added that it has received support from Airbnb co-founder Nathan Blecharczyk, Y Combinator, Danhua Venture Capital, Digital Currency Group, amongst others.
SFOX looking to provide trading services to institutional investors
The cryptocurrency firm, which was launched in 2014, functions as a trading hub for institutional investors, high-net-worth individuals, and family offices. It helps the high volume traders and investors achieve their buy and sell others.
SFOX achieves this by executing the order by integrating with different cryptocurrency exchanges.
The firm is looking to reduce the impact that high volume trades have on the general cryptocurrency market.
They are also aiming to ensure that the volumes boost trading liquidity of the market, which according to Arjun Sethi, co-founder, and partner at Tribe Capital, remains one of the most significant barriers to institutional cryptocurrency adoption.
While making the announcement, SFOX claimed that it has so far taken care of transactions worth more than $9 billion. It added that its client list has grown by 12-fold since the start of the year.
With this latest funding, SFOX noted that it is currently working on providing cryptocurrency asset management services. This will be in addition to its already existing trading facility services.
The funds will also be used to increase the manpower and expand to more countries over the next one year.
The CEO of the firm, Akbar Thobhani who was once head of growth and business development at Airbnb commented that SFOX’s plans are as a response to the increasing interest from its clients.
The increase in interest is due to the high level of exposure to crypto assets.
We continue to observe sustained and increasing demand from institutions that want to include cryptocurrencies as part of a diverse portfolio but are reluctant to do so because of uncertainty and volatility.
Cryptocurrency adoption on the rise despite bear market
Despite the bear cycle affecting the cryptocurrency market since the start of the year, cryptocurrency adoption seems to be on the rise. The entry of giants like NYSE, NASDAQ. Microsoft and others point to the fact that adoption is increasing.
The number of cryptocurrency firms has increased since the start of the year. Cryptocurrency exchanges, crypto hedge funds, asset managers and other crypto-related companies have been springing up.
This is an indication that the market will emerge from its current bear cycle to embark on a Bullish Run soon.