VALR.com, a South African cryptocurrency exchange, has raised $50 million (about R750 million) in Africa’s largest ever crypto financing round. This is worth $240 million to the corporation.
Pantera Capital led VALR’s oversubscribed Series B equity funding round, which included Alameda Research, Cadenza, CMT Digital, Coinbase Ventures, Distributed Global, GSR, Third Prime, Avon Ventures, a venture capital fund affiliated with Fidelity Investments’ parent company, as well as existing investors Bittrex and 4Di Capital, among others.
Customers may safely purchase, trade, and store Bitcoin and 60 other cryptocurrencies on the crypto exchange firm’s platform, which has the largest assortment of any platform in Africa, at some of the world’s lowest fees. Since its establishment in 2019, VALR has processed over $7.5 billion in trade volume and presently serves over 250,000 retail and 500 institutional customers from around the world.
Expansion Plans Well Underway
The funds raised will primarily be utilized to expand across Africa and other regions such as India, as well as to provide more products and services to the company’s growing worldwide customer base. VALR is also expanding its staff by hiring across the board.
“The financial tools available to society should be used to bring people together, not to divide them.” That is why I am ecstatic that VALR is assisting in the development of a financial system that acknowledges humanity’s oneness. “There is no longer any debate about the influence crypto assets are having on our global financial system,” says VALR CEO and co-founder Farzam Ehsani.
“We already help VALR’s customers enter this new world of crypto from the traditional financial system using their USD or ZAR and I’m very excited that this round of funding will allow us to serve so many more across Africa and the world.”
Since its $3.4 million Series A round of fundraising in July 2020, VALR’s valuation has increased by more than 10X.
“Pantera is extremely excited to be leading the Series B round for VALR, as we believe that Africa’s future is bright for the adoption of cryptocurrencies for both asset diversification and payments,” says Paul Veradittakit, Partner at Pantera Capital.
“VALR offers a great product and service to both retail and institutional customers.”
“What VALR has established for retail and institutional traders over the last few years has blown us away,” says Kumar Dandapani, Founder and Managing Partner of Cadenza Capital Management.
“VALR is in a strong position to establish itself as a long-term financial institution that offers asset allocation capabilities in crypto and other worldwide markets to its customers.”
VALR intends to bring on board a slew of new traditional financial institutions, including the world’s largest banks, insurers, and hedge funds, to help them build the infrastructure they’ll need to enter the crypto asset market.
“We are on the verge of a massive financial shift in the world.” Cryptocurrencies are becoming increasingly important in our daily lives. VALR exists to assist our customers in making the transition from the old to the new financial system. “We look forward to servicing you, whether you’re an individual or an organization,” Ehsani says.