India’s first cryptocurrency unicorn CoinDCX plans IPO
Even as local authorities push back against crypto assets, CoinDCX became India’s first cryptocurrency unicorn after raising 6.70 billion rupees ($90 million) from investors led by Facebook Inc. co-founder Eduardo Saverin’s B Capital Group.Sumit Gupta, the company’s CEO and co-founder, said in an interview on Tuesday that the current fundraising round valued the company at $1.1 billion. Coinbase Ventures, Polychain Capital, Block.one, and Jump Capital are among the other investors.
Gupta intends to utilise some of the funds to expand his team in India to roughly 400 individuals over the next six months, according to Chainalysis, where crypto investments increased to about $6.6 billion in May from $923 million in April 2020. The investment comes as authorities in India continue to dispute the status of digital currencies, with the central bank recently stating that it has “serious concerns” about private virtual currencies and that the government will take a definitive position on the issue.
“I am confident that the industry will be controlled at the appropriate moment,” added Gupta. “We’ve decided to risk our money and our careers because we believe this will be a fantastic opportunity for individuals to build wealth.”Before launching CoinDCX in 2018, the 30-year-old engineer from the prestigious Indian Institute of Technology spent several hours each day reading about blockchain and cryptocurrencies. Primestack Pte., based in Singapore, plans to grow its user base from 3.5 million to 50 million in the next several years, with a focus on educating consumers about crypto and blockchain.After the Supreme Court overturned a restriction on banks aiding crypto trading last year, investments soared. According to CoinGecko, daily trading on India’s four largest crypto exchanges increased to $159 million from $28.6 million a year ago.
The asset’s volatility has been a source of concern for regulators. Bitcoin lost more than half of its value after reaching a peak of $64,870 in April, falling to $28,824 in June. The Reserve Bank of India is exploring the possibility of developing its own digital currency. Gupta believes India has what it takes to become a space powerhouse.In the following months, the company intends to introduce more items, including those aimed at the wealthy.”We have a very tech-savvy populace, high smartphone penetration, and a large network of engineers and developers that can exploit blockchain technology,” said Gupta. He believes that once regulation is in place, India would develop more than 100 crypto unicorn start-ups in the next several years.
Follow Startup Story
Related Posts
