Crypto.com said on July 16 that it has received a $400 million strategic investment from Citadel Securities, giving the company a post-deal valuation of $20 billion.
In its official announcement, Crypto.com said this is the company’s first institutional fundraising round in the 10 years since it was founded in 2016. Citadel Securities is the only investor in the round.
Capital earmarked for tokenized securities, derivatives and 24/7 financial infrastructure
Crypto.com said the funds will be used to accelerate expansion across asset classes, with tokenized securities, derivatives, and 24/7 financial infrastructure identified as the main areas of focus.
CEO Kris Marszalek said in the announcement, “As crypto assets gradually become the rails of finance, the scale of the opportunity in front of us is staggering.”
Citadel Securities points to convergence between TradFi and digital assets
Citadel Securities, the global market-making firm under Ken Griffin, said the investment reflects a growing convergence between traditional finance and digital asset infrastructure.
President Jim Esposito said, “The convergence of traditional financial markets and digital asset infrastructure is an important evolution that can improve market efficiency.”
The report said Citadel Securities has historically focused on market-making, and this investment is its first strategic equity investment in a crypto exchange.
Crypto.com ranks 11th globally by trading volume
Crypto.com is currently the world’s 11th-largest crypto exchange by trading volume and serves more than 90 countries.
In February this year, the company received conditional approval for a U.S. National Trust Bank license. According to the report, that license allows the exchange to legally provide institutional-grade crypto asset custody and related fiat settlement services in the United States.