According to a senior government official who spoke with an international news agency recently, India is reevaluating its position on cryptocurrencies in light of changing perceptions of the virtual asset in other nations. A discussion paper on cryptocurrencies that was scheduled for release in September 2024 may be further delayed by the review, which comes after US President Donald Trump announced policies that are favourable to cryptocurrencies.
Regarding the use, acceptance, and perceived significance of cryptocurrency assets, more than one or two jurisdictions have altered their positions. India’s Economic Affairs Secretary Ajay Seth stated in an interview, “In that step, we are looking at the discussion on the paper again.”
No Unilateral Stance on Cypto
India’s attitude cannot be one-sided, according to Seth, because such assets “don’t believe in borders.” He made no mention of the US, where Trump fulfilled his pledge to restructure US crypto policy last week by directing the formation of a working group on cryptocurrencies to develop new rules for digital assets and investigate the establishment of a national cryptocurrency reserve.
Despite the country’s strict regulations and high trade taxes, Indians have been investing heavily in cryptocurrencies in recent years. In December 2023, nine offshore cryptocurrency exchanges received show-cause notices from India’s Financial Intelligence Unit (FIU) for violating local regulations.
Why Indian Authorities are Keeping a Close Eye?
Despite the increasing use of digital assets in the nation, India has so far adopted a stringent regulatory approach to cryptocurrency. For the second consecutive year, India led the world’s adoption of cryptocurrencies in 2024, according to a Chainalysis study. In 2022, India imposed a steep 30% capital gains tax and a 1% tax deducted at the source on cryptocurrency transactions over INR 10K.
India’s Financial Intelligence Unit (FIU) sent show-cause notices to nine cryptocurrency exchanges in December 2023, including Binance, Kucoin, and Bitfinex, for allegedly “illegally” conducting business in the nation through offshore businesses. Several federal organisations are currently looking into WazirX after hackers took about $235 million from one of its wallets in July of last year.
Over 4 million Indians have yet to fully recoup from the losses caused by the breach. Several cryptocurrency companies, including OKX, Pillow, Flint, and WeTrade, have had to close their doors as a result of India’s crackdown on the sector.
India’s market watchdog suggested last year that multiple regulators monitor cryptocurrency trading, indicating that at least some Indian officials are willing to permitting the usage of private virtual assets. The country’s central bank, which has insisted that private digital currencies pose a macroeconomic danger, disagreed with that stance.
It is not a secret that cryptocurrencies have become an integral part of our financial lives. Despite the seemingly complicated structure, the process of crypto trading is quite logical and can be simplified if you follow the sequence of several steps. This article explores the course of action new investors should undertake if they want to know how to buy crypto.
What is Cryptocurrency?
Before you start gathering information about how to buy crypto, it is fundamental to understand the basic notions. Cryptocurrency is a virtual asset that utilises blockchain technology for security and transaction transparency. Almost everyone has heard of the first and most popular digital currency—Bitcoin, which was introduced fifteen years ago. Other notable coins include Ethereum (ETH), Litecoin (LTC), and Ripple (XRP).
Cryptocurrency is used for multiple purposes:
Investments (short-term and long-term) and fund sustaining;
Payment for services and goods;
Conducting money transfers without the involvement of the banking system.
Before you start your trading journey, you have to set your financial goals and what you are going to use your assets for.
Where to Buy Crypto?
The choice of the platform is the key element to success. There are two main options:
Cryptocurrency exchange platforms: Official cryptocurrency exchange services like Binance, Kraken, and Coinbase supply a variety of popular digital currencies and altcoins available for trading. Commissions differ among platforms, so it is vital to get acquainted with the list of applicable fees beforehand. Exchange platforms accept different payment types and deliver secure transactions, as each user has undergone the verification process.
P2P platforms: Peer-to-peer trading platforms are similar to marketplace apps, where the deal is executed between two people, without the involvement of the bank or other financial entity. Similar to centralized exchanges, P2P platforms accept versatile payment methods and the prices for some assets might be quite profitable as they are set by the sellers. However, when choosing this method of how to buy crypto, one must be aware of scammers, as transactions are mostly trust-based.
Be aware that to ensure maximum security the majority of platforms are implementing the KYC (Know Your Customer) process of identity verification. To create a trading account, you will be required to input contact details and provide a valid form of identification.
How Do You Choose Cryptocurrency and What are the Payment Methods?
There are hundreds of coin types on the market, and if you are a newbie and are still learning how to buy crypto then this diversity can become overwhelming and confusing. Newcomers can start investing small sums into popular currencies like Ether or Bitcoin to get acquainted with the market and price fluctuations. Popular currencies are more stable and possess high liquidity. And after the initial investment has been made, it is possible to start thinking about diversification. Study information about each currency you are interested in, compare the price graphs, and analyse the prognosis.
Key factors to consider:
Total market value
Current price and dynamics
Practical use and expansion opportunities
There are several payment options for cryptocurrency: using a credit/debit card, via bank transfer, using payment systems like PayPal or Skrill, or even using cash (on P2P platforms). Remember that each method has commissions and you should check its amount on the platform.
How to buy crypto becomes a simple process if you follow these easy steps and spend time educating yourself about the basics of the market. Start by choosing a reliable platform, purchasing your first asset, and securing your funds. For more information, platform reviews, and cryptocurrency trading tips, make sure to visit your reliable partner. You will find everything you need for a successful start in the world of digital assets!
Company Profile is an initiative by StartupTalky to publish verified information on different startups and organizations.
Indians are slowly and steadily considering Cryptocurrency as a safe mode of investment. Mostly the younger generation is taking interest in Cryptos. According to some reports, the average age of crypto investors in India is around 24 years. However, there are still many speculations about crypto trading and many investors are not comfortable with Crypto trading still. This is why the Bangalore-based startup, CoinSwitch Kuber was formed in 2017 to make crypto trading simpler for Indian Investors.
The startup enables trading in several cryptocurrencies, including Bitcoin, Ripple, Ethereum, Litecoin, Dash, and many others, using INR. You just need to download the CoinSwitch Kuber iOS or android app and start trading. In this StartupTalky article, we are exploring more about CoinSwitch Kuber, the story behind the startup, and what the startup is offering, which includes CoinSwitch Kuber website, CoinSwitch Kuber reviews, CoinSwitch Kuber deposit, CoinSwitch Kuber investors, CoinSwitch Kuber login, CoinSwitch Kuber fees, and how it is growing!
CoinSwitch Kuber is a cryptocurrency trading platform that aims to simplify investing in cryptocurrencies. CoinSwitch Kuber aggregates liquidity across major Indian and global crypto exchanges. The platform’s order matching engine provides the traders the best rates at the click of a button, thus making trading simpler than ever.
“We discovered that the price of crypto swings between exchanges based on supply and demand when trading in crypto ourselves. Choosing the correct exchange is crucial if you want to obtain greater profits from the market. “We created an aggregator of various exchanges that offered us real-time data on which exchange is the best to trade at any particular instant to obtain the highest return,” co-founder Ashish says explaining the idea behind the startup
CoinSwitch Kuber lets users trade across 100+ cryptocurrencies. Users can buy cryptocurrency using a credit or debit card at competitive prices on the CoinSwitch platform. After completing the KYC/AML processes, customers may use the pooled liquidity of India’s top exchanges to receive the best rate and trade instantly.
The CoinSwitch Kuber mobile app comes with a simple user interface that makes crypto trading a breeze.
While customers from over 200 locations in India invest in crypto through its platform, tier I cities account for 40% of its users, while tier II (36%) and tier III (24%) make up the majority of its clientele. On CoinSwitch, the average ticket size per user is 9,000 per month, however, this varies by city. The average ticket size in Tier I is Rs 11,600, compared to Rs 6,600 in tier II and Rs 3,500 in tier III.
What’s interesting or concerning, depending on one’s perspective, is that the average age of a crypto investor on CoinSwitch is 24 years, and Singhal claims that crypto is the first investment in any asset class for 65% of his customers outside of savings bank accounts and fixed deposits!
CoinSwitch Kuber’s tagline says, “Buy, Sell, Trade.” CoinSwitch Kuber has launched a new campaign with the catchphrase “Trade Kar, Befikar.”
CoinSwitch Kuber – Founders and Team
CoinSwitch Kuber was founded by Vimal Sagar Tiwari, Govind Soni, and Ashish Singhal in 2017.
Founders of CoinSwitch Kuber
Ashish Singhal
Ashish Singhal is the Co-founder and CEO of CoinSwitch Kuber. Former Amazon employee who interned at Microsoft, Ashish Singhal, is a computer science graduate from Delhi’s Netaji Subhas Institute of Technology. Besides handling various technical roles in companies like Livspace.com and Reap Benefit, Ashish founded startups like CRUXPay (an open-source protocol for blockchain naming services) and Urban Tailor, which is the first of its kind at home tailoring services. He left the position at Urban Tailor in September 2016, but continued with CRUXPay, before stepping down from that too in April 2020.
Govind Soni
CoinSwitch Kuber Co-founder and CTO,Govind Soni was also a former Amazon and Livspace employee. Besides CoinSwitch Kuber, Govind co-founded CRUXPay along with Ashish and Vimal. Soni was also a student of the same college as Ashish, where he studied Computer Engineering, and served as the Co-founder and CTO also at CRUXPay, before stepping down from it in January 2021.
Vimal Sagar Tiwari
CoinSwitch’s Co-Founder and Chief Operating Officer (COO), Vimal Sagar, worked with organizations like Zynga and Accenture. He graduated from the Jaypee University of Information Technology. Vimal is also a Co-founder of CRUXPay, and is still retaining the positions of Co-founder and COO at CRUXPay.
The CFO, CBO, and SVP quit their roles to start up a new initiative that will offer insights to web3 investors. Sarmad Nazki, Sharan Nair, and Krishna Hegde of CoinSwitch Kuber haven’t finalised the name of the startup yet, as per news dated July 8, 2022. Nazki has served in the position for a little more than a year. Nair joined CoinSwitch Kuber just after the company was launched in 2017, and held numerous positions during his long stint, whereas Hegde joined the unicorn crypto company in September 2021. CoinSwitch Kuber confirmed that the positions of CFO, CBO, and SVP will be taken up by Ramesh Bafna, Rishav Dev, and R Ventakesh. The trio has already been talking to Web3 focused-investors to raise a seed round ahead.
The CoinSwitch Kuber team has an employee count that somewhere ranges between 501-1000, as per its Linkedin profile.
The origin of CoinSwitch Kuber can be traced to the realisation of Govind, Vimal and Ashish, all of whom were computer engineers and friends, when they discovered that the price of cryptocurrency is dynamic. It varied slightly across all the prominent crypto exchanges, based on the demand and supply. Therefore, they thought that if the users wanted to get better returns from the market, especially when it comes to scale, they needed to choose a good cryptocurrency exchange. This is what made them decide to create an aggregator of crypto exchanges. Here, their main aim was to provide real-time data on the best prices and exchanges for cryptocurrencies to be traded.
Ashish, Govind, and Vimal, who are all in their early thirties, have been friends since their college days when Ashish and Govind were batchmates, and Vimal was a mutual friend of theirs. They were also tech whizzes who competed in hackathons as a group. Almost every big hackathon in India was won by the trio, including the ones organised by Sequoia, Google, Amazon, and LinkedIn. Surprisingly, CoinSwitch was inspired by a hack that the trio subsequently made public.
On one occasion, the founders-to-be of CoinSwitch created a simple crypto exchange aggregator in a hackathon, but little did they know that the hack would later turn into a full-fledged company.
CoinSwitch Kuber was founded in 2017, and as soon as it launched, the startup started to take users on board at a rapid scale. The users “needed simplicity in the crypto world”, said Ashish, and this made the simple and intuitive nature of the product work. The only goal that the founders of CoinSwitch had while working on the product was to make crypto easy to understand and accessible to the masses.
However, soon after CoinSwitch was launched as a product, RBI’s announcement came, where the body signaled a ban on the cryptos by asking the banks to refrain from supporting these currencies in 2018. This made the founders take their product, which was then simply known as “CoinSwitch”, to the global market.
Eventually, Sequoia Capital backed their venture, thereby making the CoinSwitch foray into success. Though the platform turned successful indeed outside of India, the hearts of the CoinSwitch founders were set only on their country.
This turned real when Supreme Court intervened, overruling the previous RBI ban, thereby making it an open season for the crypto-based businesses like WazirX, ZebPay, CoinSwitch and more. This was more than a silver lining for them. They soon launched CoinSwitch Kuber app just for the Indian market.
CoinSwitch Kuber – Mission and Vision
The CoinSwitch Kuber team believes in financial inclusion, which means that wealth, investment, and financial education should be accessible to all people.
CoinSwitch Kuber’s mission statement says, “Our Mission is to challenge the status quo. We believe that our platform democratizes cryptocurrency investment so the everyday man can make his money work for him – without a fancy degree or a boatload of money.”
The company’s vision is to make crypto trading simple and transparent.
CoinSwitch Kuber – Partnerships
NDTV and CoinSwitch Kuber have established a strategic collaboration to provide comprehensive and best-in-class cryptocurrency programming in August 2021. NDTV will create unique crypto destinations on gadgets360.com, ndtvprofit.com, and ndtvindia.in as part of this relationship. This bridge expansion includes a refreshing show on NDTV 24X7 and NDTV India every other weekend.
The need for trustworthy and accurate information is more important than ever as cryptocurrencies become more mainstream and more individuals begin to evaluate this asset class. With NDTV’s credibility and confidence, as well as CoinSwitch Kuber’s subject expertise and powerful trading platform, this collaboration aims to bridge that gap.
CoinSwitch Kuber Partners with Startup Karnataka for Blockchain Hackathon
The Blockchain Hackathon, Building Future Cities, an initiative decided by Startup Karnataka of Karnataka government, and Tejasvi Surya, Bengaluru South MP, will also have CoinSwitch as its partner. This initiative is aimed to recognize blockchain-based solutions and bring them to the citizens from across the country, in order to dissolve the everyday problems they face. Sequoia India will also be backing this hackathon.
CoinSwitch Kuber – Business Model and Revenue Model
CoinSwitch Kuber is one of just a few cryptocurrency companies currently functioning. Users may acquire shards of various major cryptocurrencies on the crypto market. On CoinSwitch, for example, a user may buy bitcoin and other currencies in tiny sachets for as little as 100 Indian rupees ($1.30), which proves really profitable for the users. Besides, where other crypto exchanges came up with products for the traders who are acquainted with the order books, and are well-versed with buying/selling orders, CoinSwitch distinguished itself by targeting the users who hadn’t see an order book before, and wasn’t aware of what it was.
CoinSwitch Kuber presents itself as an aggregator and don’t charge the users, in contradiction to other crypto exchanges, which usually charge transaction fees from the users. CoinSwitch Kuber, instead, of a maker, negotiates with the crypto exchanges on transaction fees.
Speaking on the business and revenue model of CoinSwitch Kuber, Founder and CEO, Ashish Singhal said, “We give a fixed price to users and aggregate supply on the backend, Our execution engine is where the revenue comes from. But going forward, earning models may evolve as innovations and regulations come into play.”
CoinSwitch Kuber offers its users free trading, deposit, and withdrawal facilities for the first 100 days. After that, a fee is charged on each transaction made through the platform. As per the terms of the company, there is no fee for the transfer of digital assets to the CoinSwitch Kuber wallet, however, withdrawal of digital assets from the wallet may attract charges. The platform also charges for the transfer of fiat currency through credit/debit cards or net banking.
CoinSwitch Kuber – Growth and Revenue
CoinSwitch Kuber has managed to impress investors with its concept and performance. In addition to Tiger Global Management’s $25 million investment in April 2021, Sequoia Capital, Ribbit Capital, Paradigm, Kunal Shah, the creator of Cred, and others have backed CoinSwitch. With the recent fundingreceived from Andreessen Horowitz and Coinbase Ventures in October 2021, CoinSwitch Kuber reached Unicorn status with a valuation of $1.9 billion.
CoinSwitch Kuber boasts of witnessing the highest number of downloads among the crypto startups in India in 2021 when it was downloaded more than 6.1 mn times.
CoinSwitch Kuber is the most downloaded crypto exchange app in 2021downloaded
Ever since CoinSwitch was started and was taken global after the RBI ban, the company started seeing huge transactions through their app. Within just 2 years, CoinSwitch Kuber has seen more users onboard its app than any other crypto exchange in India. This growth has been mainly due to the simplified UX that the app brought in, and its decision to not provide the users with certain trading features.
Singhal points out that unlike other startups they did not knock on the investors’ doors.
“We did not reach out to Tiger Global for funding. They contacted us and expressed their willingness to invest in our company. Tiger doesn’t invest less than $100 million but we said we just need $25 million,” says Singhal.
Kuber claims to have over 15 million users in India, and the monthly active user count of CoinSwitch Kuber is over 7 million. It has also been disclosed that more than half of them are under the age of 25. CoinSwitch Kuber claims to have handled $5 billion in transactions in the last 11 months.
The firm intends to expand its operations outside cryptocurrency in the future.
“We intend to expand into traditional finance, such as equities, mutual funds, exchange-traded funds, and bonds, and provide a full portfolio on our platform to retail customers,” says the company.
“We are not a capex-intensive business, and don’t need too much money. Hence, our EBITDA margins are in the range of 60-65%,” reveals Singhal.
CoinSwitch Rolls Out the Web3 Discovery Fund
CoinSwitch has launched the Web3 Discovery Fund, which is a fund that will invest in and help incubate early-stage startups that are engaged in building blockchain solutions for the Web3 space. This Web3 startups funding initiative of CoinSwitch is currently aiming to help up to 100 Indian startups, as per the reports dated August 10, 2022. Ashish Singhal, the CoinSwitch Co-founder and CEO stated that the fund has already received an initial corpus of $10 mn and the company is further looking to raise some more funds from marquee investor partners ahead.
CoinSwitch: some of the major growth highlights are:
It has over 2 crore+ users as of February 2024
It is backed by some of the world’s leading investors including a16z, Tiger Global and Sequoia Capital India.
On November 22, 2023, CoinSwitch launched the multiexchange trading platform CoinSwitch Pro on November 22, 2023. This platform marks a significant advancement for cryptocurrency enthusiasts and traders. This cutting-edge platform not only provides users with a comprehensive view of multiple tokens across various exchanges but also empowers them to make informed decisions by comparing prices and selecting the most suitable options.
What sets this platform apart is its seamless functionality, allowing users to effortlessly trade crypto assets in INR across a multitude of exchanges, all through a single login. This streamlining of the trading process not only enhances the user experience but also signifies a pivotal step towards greater accessibility and user-friendliness within the cryptocurrency realm.
There is a variable transaction charge associated with using the cross-exchange platform, depending on the crypto exchange that is used. The CoinSwitch Pro platform stands out for its flexibility in serving various users and exchangers.
CoinSwitch Kuber – Funding and Investors
CoinSwitch Kuber has raised over $300 mn over 4 funding rounds. It is now counted among the unicorn startups of India, with a valuation of over $1.9 bn.
Date
Round
Amount
Lead Investors
October 6, 2021
Series C
$260M
Andreessen Horowitz, Coinbase Ventures
Apr 22, 2021
Series B
$22.7M
Tiger Global Management
Jan 13, 2021
Series A
$15M
Paradigm, Ribbit Capital
Mar 24, 2018
Seed Round
$1.5M
–
Andreessen Horowitz is a CoinSwitch Kuber investor, who invested for the first time ever in India in the $260 mn funding round of CoinSwitch, and was joined by Coinbase Inc., which turned CoinSwitch into a unicorn. Some other investors of CoinSwitch are Tiger Global, Paradigm, Ribbit Capital etc.
CoinSwitch Kuber – ESOPs
CoinSwitch Kuber recorded their first-ever ESOP buyback programme on March 21, 2022, worth $2.5 million. This buyback round was a mixture of funding that came from both the internal and external sources.
CoinSwitch Kuber – LayOffs
CoinSwitch in a recent move, has undertaken a strategic restructuring initiative, resulting in the reduction of its workforce by 8%. This decision translated to approximately 44 employees being laid off from various departments. Presently, CoinSwitch boasts a total workforce of 519 employees, as per their LinkedIn profile.
The impact of these layoffs has predominantly been felt within the customer support team, where the majority of the affected employees were stationed. While such decisions are often undertaken as part of broader efforts to optimize and realign company resources, they undoubtedly bring about significant transitions for both the organization and the employees involved.
In the official statement company spokesperson said, “we right-sized our customer support team to align with the present volume of customer queries on our platform. This impacted the roles of 44 members of our customer support team, who voluntarily resigned from their roles after a detailed discussion with their managers earlier this month.”
CoinSwitch Kuber – Competitors
To mention, the top 10 competitors of CoinSwitch Kuber are:
CoinSwitch Kuber employs over 120 people and has over 4.5 million users on its network. In comparison to other applications on the market, the app provides consumers with a clean UI and UX design. However, it was recently discovered that the app does not support UPI payments.
On April 21, 2021, the organization announced on all of its official social media accounts that INR deposits in the CoinSwitch Kuber App will be disabled. CoinSwitch Kuber said on Twitter that the firm has temporarily blocked all INR deposits owing to unforeseen problems with their banking partner. The issue was later resolved and now INR deposits are enabled.
Cryptocurrency is a murky area in India. Despite the legalization of crypto investments in India, there are many fears and doubts related to the topic. When it comes to difficulties, Ashish believes the company’s sole issue is teaching people in India about cryptocurrencies and the ecosystem.
CoinSwitch Kuber had got into trouble in association with the idea of lending feature with the SEC, and as a result, Ashish had to drop the idea. However, the founders still are of the opinion that they would be able to use the lending and stakes feature to utilise them for earning revenues in the future. They have already started working to make it possible by working with regulators and gaining their confidence.
As the trading of cryptocurrency lacks defined regulations, CoinSwitch Kuber temporarily paused crypto withdrawals.
CoinSwitch Received ED Notice in Association with FEMA investigation
CoinSwitch reportedly received a notice from the Enforcement Directorate (ED) along with some other cryptocurrency firms like CoinDCX in association with the Foreign Exchange Management Act (FEMA) investigation. Here, ED is determining whether or not these companies were engaged in offences related to foreign currencies. On this, CoinSwitch mentioned that it has received notifications from ED and is ready to comply with them, as per reports dated July 12, 2022.
CoinSwitch Kuber – Future Plans
CoinSwitch has revealed plans to build a cryptocurrency investment platform by June 2024 that is targeted at retail investors as per news report of March 11, 2024. Through the provision of user-centric technology, this program seeks to democratize access to digital asset trading and enable users to navigate investments with confidence.
FAQs
What does CoinSwitch Kuber do?
CoinSwitch Kuber is a crypto trading platform for individual investors that is available only in the Indian market via a mobile application. It enables trading in several cryptocurrencies, including Bitcoin, Ripple, Ethereum, Litecoin, Dash, and many others, using INR and is available as a mobile application (INR).
Unocoin, WazirX, CoinDCX, Instamojo, Glidera, ZebPay, SmartCoin, IPaxful, Bitxoxo Bitcoins, and Coinbase are the top ten competitors of CoinSwitch Kuber.
When was CoinSwitch Kuber founded?
CoinSwitch Kuber was founded in 2017.
Who founded CoinSwitch Kuber?
CoinSwitch Kuber was founded by Vimal Sagar Tiwari, Govind Soni, and Ashish Singhal in 2017.
What is the CoinSwitch Kuber website?
The CoinSwitch Kuber website is coinswitch.co
What are the CoinSwitch Kuber fees?
CoinSwitch Kuber doesn’t ask the users anything such as the CoinSwitch Kuber fees. It rather poses itself as an aggregator and negotiates with the crypto exchanges on transaction fees.
How is CoinSwitch Kuber login done?
The CoinSwitch Kuber login procedure is really easy where the users need to download the app of the company and then they need to first have an account to log in to the same, with the same login credentials.
What are CoinSwitch investors?
Some of the prominent CoinSwitch investors are Ribbit Capital, Andreessen Horowitz, Tiger Global, Coinbase Inc., Sequoia, Paradigm and others.
What was the CoinSwitch deposit issue?
CoinSwitch deposit of rupees was temporarily disabled, but it was fixed after 2 long weeks.
What is wrong with CoinSwitch Kuber withdrawals?
When it comes to CoinSwitch Kuber withdrawals, the company has announced that it has temporarily disabled the withdrawal of cryptocurrencies.
Company Profile is an initiative by StartupTalky to publish verified information on different startups and organisations. The content in this post has been approved by CoinDCX.
A massive increase in the number of internet users has reactivated virtual world concepts and spawned a new market phenomenon known as cryptocurrency to enable financial transactions such as purchasing, selling, and trading.
Cryptocurrencies are digital representations of precious and intangible objects that can be used in a variety of applications and networks, including online social networks, online social games, virtual worlds, and peer-to-peer networks.
In recent years, virtual currency has been widely used in a variety of schemes. It’s clear that cryptocurrencies are an important and rising element in today’s digital economy.
CoinDCX is a cryptocurrency trading site, which is famous as one of India’s biggest cryptocurrency exchanges. The company earned the unicorn status by raising $90 million on August 10, 2021, and turned into India’s first unicorn crypto startup.
Here we will delve deep into the CoinDCX company, where you will find all about CoinDCX, CoinDCX Founders, its Funding, Investors, Mission, Vision, Business and Revenue Model, Challenges Faced, Future Plans, and more. So, stay glued.
Billed as India’s largest and safest cryptocurrency exchange platform, CoinDCX allows users to legally exchange various cryptocurrencies. It is built for all types of traders, taking into account their trading background, risk tolerance, and trading frequency, allowing customers to trade their crypto assets according to their requirements.
CoinDCX is a company that is working on a cryptocurrency trading network. The business is focused on developing cross-border financial services that ensure a smooth and continuous flow of resources. The trading experience is quick, reliable, and effortless thanks to its liquidity, powerful wallet, and impenetrable protection. CoinDCX has given its traders access to a variety of industry-first products that enable them to trade using exchange liquidity.
Currently, CoinDCX Go offers a range of tokens in INR pairs such as Bitcoin (BTC), Ethereum (ETH), Bitcoin Cash (BCH), Litecoin (LTC), Binance Coin (BNB), Chainlink (LINK), EOS (EOS), Tether (USDT), Cardano (ADA), Stellar Lumens (XLM), Ripple (XRP), Basic Attention Token (BAT), Matic Network (MATIC), Tron (TRX) etc.
CoinDCX announced its 3rd birthday on April 7, 2021. Three years ago, CoinDCX has begun an exciting journey of providing cryptocurrency trading and exchange services to the general public. The Reserve Bank of India (RBI) declared a banking ban for cryptocurrency and related entities around the same time. In addition, India’s crypto industry was in desperate need of a shake-up. It was enough to keep the momentum going, and CoinDCX began with a single goal in mind: ‘Cryptocurrency Adoption.‘
The services of CoinDCX are tailored to fit all styles of traders, taking into account their trading history, risk tolerance, and frequency of trading. The company’s mission is to democratise finance and make investing more accessible to the general public.
CoinDCX announced the launch of CoinDCX Go app on January 20, 2021. A future Bitcoin app that allows users to legally purchase Bitcoin and other common cryptocurrencies with a single click, CoinDCX Go stands as a simple, safe, and secure method to invest in cryptocurrencies.
CoinDCX – Industry
CoinDCX is a part of the cryptocurrency industry, which is growing at an unimaginable pace across the globe. Looking at the global cryptocurrency industry, we can discover that it reached a valuation of $1,782 billion in 2021. The same sector is predicted to grow at a CAGR of 58.4% and will reach $32,420 billion by 2027. While looking at the growth of cryptocurrency in India, the same industry is inching to touch a valuation of $241 million by 2030, as of December 2021.
CoinDCX – Founders and Team
CoinDCX was founded by Sumit Gupta and Neeraj Khandelwal in April 2018.
Founders of CoinDCX – Sumit Gupta and Neeraj Khandelwal
Sumit Gupta
Sumit Gupta is known as the Co-founder and CEO of CoinDCX. Sumit holds a B.Tech in Electrical and Electronics, and an MTech degree in Electronics and Signal Processing, from IIT Bombay. He served as a Data Research Analyst at Columbia Business School before joining Sony as a Software Engineer. However, he left the role after a little more than a year and co-founded ListUp before leaving it too and founding CoinDCX.
Neeraj Khandelwal
Neeraj Khandelwal is another Co-founder of CoinDCX, who also serves as CTO of the company. Khandelwal also is an alumnus of IIT Bombay, who completed his graduation in Electrical Engineering from the same university. It is Khandelwal who leads the technical development of the CoinDCX products.
The CoinDCX team created the entire platform from the ground up. Full-stack developers, blockchain developers, machine learning engineers, app developers, software engineers, and data scientists make up the 100+ members team, giving them the expertise to incorporate any innovative logic or functionality in our market. CoinDCX plans to have a workforce consisting of 200+ members soon.
CoinDCX – Startup Story
Sumit Gupta first learned about distributed ledger technology when Bitcoin mining was gaining popularity. This is when the concept of putting together different decentralised marketplaces and cryptocurrencies, which serve as the marketplace medium of exchange, stayed with him.
He then reached out to his friend Neeraj Khandelwal, with whom he worked to bridge the crucial market gaps between this emerging technology and global consumers. The duo realised that blockchain traders, who could keep track of thousands of crypto trades every second, lacked a single trading network. In April 2018, the IIT-Bombay graduates launched CoinDCX as a result of this.
The startup claims to have had a daily trading volume of more than $10M and a monthly trading volume of $400M since its launch. After researching the industry and the potential of crypto technology, they launched the DCX journey with a cryptocurrency exchange in 2018.
CoinDCX – Mission and Vision
CoinDCX mission and vision statement says,
“CoinDCX envisions to enable global financial inclusion of billions of people around the planet with a crypto-based financial services. We aim to make decentralized financial services accessible to the common man on their palms and tips.“
CoinDCX – Name, Logo and Tagline
DCX is a company based in Singapore that specialises in crypto-enabled financial services, and so the name ‘Coin’ DCX is a fitting add-on to let the company ooze of uniqueness.
The CoinDCX business model has established single-point access to trade all cryptocurrency instruments available in over 500 markets, according to the founders. It claims to have developed a highly scalable trade machine engine capable of processing one million transactions per second. Any transaction or exchange on CoinDCX incurs a transaction fee. Deposit fees (charged on exchanging currencies), withdrawal fees, trading commissions (0.01 percent of the overall transaction is normal on any exchange), and listing fees are how CoinDCX makes money, just like any other cryptocurrency exchange.
The trader will convert INR to Cryptos and vice versa on DCXInsta, gain by lending their holdings with DCXlend, and leverage trades with DCXmargin on DCXtrade’s 500+ markets. CoinDCX aspires to be the world’s best cryptocurrency exchange. Its patented liquidity aggregation model gives users access to liquidity from the world’s leading cryptocurrency exchanges.
CoinDCX – Growth and Revenue
CoinDCX is popularly hailed as India’s first crypto unicorn. Founded in 2018, CoinDCX brings easy investing and trading solutions for cryptocurrency-based products for all. This ISO-certified crypto platform, which is insured by BitGo, provides an array of products like CoinDCX, CoinDCX Pro, DCX Learn, Cosmex, and more. It is the only crypto startup in India that has raised 3 CoinDCX funding rounds in less than a year.
CoinDCX witnessed a 45.78% growth in its installed users between October and November 2021 alone. The growth of CoinDCX definitely depends on the innovative ideas on which CoinDCX was founded, its ability to battle with the challenges thrown in, the funding rounds it has witnessed, and the innovative and interesting marketing strategies that CoinDCX executes.
Some more growth highlights of CoinDCX are:
CoinDCX became the first crypto unicorn in India valued at $1.1 billion as of August 10, 2021, with the latest funding round where the former Facebook co-founder, Eduardo Saverin’s B Capital Group took part along with a bunch of the company’s existing investors – Coinbase Ventures, Polychain Capital, Block.one and more. CoinDCX was valued at $2.15+ bn last in April 2022.
CoinDCX has grown its user base from 150K to 400K in just 15 months and currently over 1.4 crores users.
The quarterly trading volume of CoinDCX is over 16,500 users.
CoinDCX has already crossed $10 billion in trading volume in February 2021
It has witnessed a 4X growth Q-o-Q in daily active users
It has listed 500+ coins and 1000+ trading pairs
CoinDCX Revenue, Financials and More
CoinDCX’s Indian business, Neblio Technologies, witnessed a remarkable growth in its net profit in FY21, which rose 9X YoY to become Rs 4.4 crore from Rs 45.6 lakh in FY20.
All of it started with the Supreme Court verdict of March 2020, which lifted the banking ban on the trade of cryptocurrency in India. CoinDCX started seeing quite a growth starting from August 2020 onwards. It noticed a 38% month-on-month (MoM) growth since its inception in 2018. This is due to the fact that more and more Indians started to show interest to participate in the global crypto economy.
The CoinDCX operating revenue surged by more than 527% YoY from Rs 6.2 crore in FY20 to Rs 38.9 crore in FY21.
The expenses also ballooned by more than 7X, which increased from Rs 5.7 crore in FY20 to Rs 40.7 crore in FY21.
CoinDCX Financials FY20-2023
CoinDCX Ventures
CoinDCX launched CoinDCX Ventures with an aim to establish its own venture investment arm on May 10, 2022. The venture investment arm of the Indian crypto-exchange unicorn, CoinDCX Ventures will help the company invest in early and late-stage crypto and blockchain startups. Rohit Jain, a Harvard Business School alum has been appointed by the startup as the Senior Vice President and the Head of Ventures and Investments to lead the CoinDCX Ventures which is designed to strengthen the digital asset ecosystem of India and give a push to the country’s digital economy. According to the Co-founder and CEO of CoinDCX, Sumit Gupta, CoinDCX Ventures is nothing short of a “great milestone”, and that the crypto exchange has plans to invest around Rs 100 crores in CoinDCX Ventures within the next 12 months.
CoinDCX “Earn” Crypto Yield Initiative
CoinDCX has announced the launch of its new initiative on May 26, 2022. This “Earn” crypto yield initiative that CoinDCX launched, will allow the crypto asset holders to earn interests on their crypto assets.
The platform will deploy the assets under ‘Earn’ among the wide array of yield generating options like lending, margin trading, and staking, in order to create returns. This new opportunity to yield income promises no lock-in periods and withdrawals at any moment, thereby offering the customers full flexibility and control over their cryptocurrency assets. However, the tenor must be of seven days.
CoinDCX grew considerably even during the pandemic, speaking about which, Sumit Gupta, the CEO and Co-founder of CoinDCX said in a statement, “This has been the most exciting year for CoinDCX. While the pandemic forced everyone indoors, CoinDCX scaled up exponentially and continues to do so. Our team tripled in number from 30 in March to 90 in December, and we are continuing to hire aggressively.”
If more investors looked into these emerging liquidity alternatives as a result of the global pandemic, interest in digital assets grew steadily. As institutional and individual investors adopt these emerging asset classes to diversify their portfolios, this trend is expected to intensify exponentially, according to analysts.
India is regarded as a developing market for cryptocurrencies, with retail investors aged 25 to 40 spending millions of dollars every day on cryptocurrency trading in the nation. In the April-June quarter of 2020, the exchange says it saw a 3X increase in total volume traded and a 4X increase in daily active users.
“In the end of 2020, interest in digital assets was growing consistently as more investors explored these new liquidity options. With the global events this year, we’re seeing this trend accelerate exponentially, as both institutional and individual investors embrace these new asset classes to diversify their portfolios,” Block.one’s CEO Brendan Blumer said.
CoinDCX – Funding and Investors
CoinDCX has raised around $245 million over 8 Coindcx funding rounds that the company has seen. The last (Series D) round of funding came in on April 19, 2022, and helped CoinDCX raise $135 mn. Pantera Capital and Steadview Capital led this CoinDCX funding round, which helped the crypto unicorn raise its valuation to around $2 billion. The previous round of funding helped the company raise $90 million, which turned the company into an Indian unicorn startup at a valuation of $1.1 billion on August 10, 2021.
The CoinDCX funding till date is as follows:
Date
Round
Amount
Lead Investors
April 19, 2022
Series D
$135M
Steadview Capital and Pantera Capital
August 10, 2021
Series C
$90M
B Capital Group, Coinbase Ventures, Polychain Capital and others
Dec 22, 2020
Series B
$13.43M
Block.one
May 26, 2020
Series A
$2.5M
Polychain
Mar 23, 2020
Series A
$3M
100x Ventures, Bain Capital Ventures, Polychain
Mar 20, 2019
Seed Round
–
Bain Capital Ventures
January 7, 2019
Secondary Market
–
–
March 30, 2018
Seed Round
–
–
CoinDCX has been funded to date by some of the famous venture capitals in the world of startups like Steadview Capital, Pantera Capital, B Capital Group, Polychain Capital, Bain Capital Ventures, and more, which have led to elevating CoinDCX to the position of the first crypto unicorn of India. However, little was known about the shareholding pattern of CoinDCX until now. This is why we have taken a dive into the shareholding pattern of the company.
Here goes CoinDCX shareholding pattern, as of April 29, 2022:
Owning Company/Individual
Percentage of Stakes
Polychain Ventures
19.40%
Block One Investments
18.52%
Neeraj Khandelwal
14.36%
Sumit Gupta
14.36%
Bain Capital
7.13%
Others
6.43%
Jump Capital
3.73%
B Capital
2.96%
Cadenza Capital
2.79%
Steadview Capital
2.38%
Coinbase
2.34%
Uncorelated fund
2.01%
Pantera Blockchain fund
1.46%
Choi Sung Ho
1.11%
Vivek Nagpal
1.01%
The shareholding status of CoinDCX shows that Polychain Ventures owns the highest stakes in the company whereas the co-founders of CoinDCX – Neeraj Khandelwal and Sumit Gupta, have 14.36% of stakes each. Reports say that the collective valuation of the co-founder is over $590 mn.
CoinDCX – Partnerships and Campaigns
CoinDCX Makes Amitabh Bachchan its Brand Ambassador
CoinDCX has seen quite some partnerships that involved Bollywood actors and more. The company didn’t see any brand ambassadors until it partnered with the veteran actor Amitabh Bachchan, who became the first brand ambassador of the brand according to the reports dated October 4, 2021. With this agreement, CoinDCX aims to boost the overall knowledge of crypto and popularise the currency as an emerging asset class. Furthermore, Bachchan is also deemed to be the new face of the latest campaign by CoinDCX.
According to CoinDCX, Bachchan’s personality matches the brand’s values. Amitabh Bachchan, who is always forward in his league, whether it is in movies or anything else, is the paragon of wisdom, which will help the company add more credibility. Besides, the veteran actor has been a crypto investor himself and has already been successful in launching his own NFT (Non-fungible token), thereby gathering a considerable amount of knowledge of the crypto space. “His knowledge will prove valuable in building trust and credibility amongst new users. We are certain that his association with CoinDCX will help bring greater visibility to the world of crypto and develop a strong brand recall for us,” mentioned Sumit Gupta, Co-founder, and CEO of the brand.
CoinDCX is yet to proceed with its ad campaign with Amitabh Bachchan as of October 15, 2021. The company has reportedly put the advertisement campaigns with the legendary actor due to the lack of clarity on the regulation and policy framework. On the other hand, Amitabh has also disclosed in a recent blog post that he will be reconsidering the advertisement campaign signed with the crypto trading major. He had also mentioned that he would be revoking his endorsement with the pan masala brand Kamala Pasand on the same blog.
CoinDCX Ropes in Ayushmann Khurana
The crypto unicorn has roped in celebrated actor Ayushmann Khurana for its new campaign titled “Future Yahi Hain” on October 18, 2021. This CoinDCX campaign is designed to address concerns surrounding crypto investments of Indian audiences.
#BitcoinLiyaKya Campaign
CoinDCX has launched a digital campaign titled #BitcoinLiyaKya, which is a humorous take on the inclusion of cryptocurrencies like bitcoins. This campaign aims to drive more audiences to use bitcoins via companies like CoinDCX.
HAPPY DAY REWARDS Campaign
CoinDCX launched the “HAPPY DAY REWARDS” campaign to fuel its crypto awareness campaign across the country and present crypto as a dominating asset class.
CoinDCX Happy Days
The campaign, which started on 19th September 2021 and ended on October 15, 2021, brought opportunities for numerous eligible new users to win up to Rs 1 lakh worth of Bitcoin (BTC) every day.
Some other partnerships that CoinDCX saw are:
The unicorn crypto startup partnered with BITS Pilani on March 8, 2022, to foster research, development, and innovation in crypto among the students in India.
CoinDCX partnered with Solidus Labs on February 19, 2022. This collaboration is aimed to enhance anti-money laundering protection.
Partnership with Onfido – CoinDCX partnered with Onfido. The UK-based company that has its headquarters in London, is recognised as a world leader in AI for identity verification and authentication and was partnered with by CoinDCX to help the company figure out whether the user identities of the users’ identity documents are authentic.
Partnership with BitGo – CoinDCX collaborated with BitGo in May 2020 to secure Indian crypto trader funds.
CoinDcx partnered with Cryptocurrency Exchange OKEx, with over 50 million users worldwide, OKX is a global spot and derivatives exchange for cryptocurrencies and the second-largest exchange by trading volume.
CoinDCX – Achievements
CoinDcx is rewarded with the following recognitions from industry leaders:
• Great Place to Work Award 2021 & 2022.
• Tech Start-up of the Year Entrepreneur Awards.
• Elite list of Unicorns in India 2021 by Tracxn.
• Next Hottest Product by Amplitude Award.
CoinDCX- LayOffs
According to reports, CoinDcx has decided to direct the company’s growth in the direction of profitability and sustainability; they have let go of 12% (or about 70 employees) of the total workforce. According to Sumit Gupta, CEO of CoinDcx, “…Today, some of our incredibly talented team members will be parting ways with the organization. We are deeply sorry for that and we want to share our thoughts and reasons for the same,”.
Additionally, he added, “As you all know, startups and businesses globally are going through challenging times due to tough macro conditions, more so in crypto because of the prolonged bear market and impact of TDS on domestic exchanges. These factors had a significant impact on our volumes and thus revenues. To adapt, we undertook several proactive measures, including direct cost optimization and investment in automation to drive efficiency and productivity”
CoinDcx underwent internal reorganisation earlier in January, but it denied that any employees were laid off as a result of the process.
CoinDCX – Challenges Faced
CoinDCX was launched in 2018, and in the same year, RBI announced a banking ban on the transactions of cryptocurrencies. This ensured the shutdown of cryptocurrency startups in many parts of India, however, CoinDCX was one of the exceptional players who contested this ban, which finally, in March 2020, was invalidated by the Supreme Court of India. This lifting of the ban helped CoinDCX grow its user base from 150K to 400K investors on its exchange.
As the price of Bitcoin, the world’s leading cryptocurrency, dropped dramatically to a multi-month low, Indian cryptocurrency exchanges WazirX and CoinDCX experienced hour-long outages. Bitcoin’s price fell 30% in a few hours to $31,000 on May 19th, 2021. Many investors tried to sell their crypto assets to prevent large losses when the price fell, but they were unable to do so because WazirX and CoinDCX’s servers crashed, denying those trades.
Other investors attempted to purchase cryptocurrencies when the price was low, but their purchases were unsuccessful, resulting in a loss of valuable time before Bitcoin’s price rebounded to $40,000. Several investors converted their cryptocurrencies to Indian rupees and requested withdrawals, but stated that the funds were withdrawn from their crypto wallets but not reflected in their bank accounts.
Due to high user traffic we are aware some of our users like yourself might be experiencing issues related to services on our website and our Apps.
We are thankful for your patience and regret any inconvenience this may cause to you.https://t.co/W6oS8yz55v
— CoinDCX: Making Crypto Accessible to Indians (@CoinDCX) May 19, 2021
Following an informal advisory from the Reserve Bank of India, many Indian banks have stopped providing services to Indian crypto companies (RBI). Despite the Supreme Court’s decision in March 2020 to overturn the RBI’s 2018 circular prohibiting banks from offering services to crypto exchanges, this is still the case.
The current accounts of crypto companies have been suspended by ICICI Bank, one of the last few large lenders to provide services to them. Payment gateways for merchants buying or selling cryptocurrencies have reportedly been told by the private sector lender to turn off its net banking services.
CoinDCX was Questioned by ED in Relation to FEMA
The Enforcement Directorate (ED) has been working on an ongoing Foreign Exchange Management Act (FEMA) to verify whether or not the Indian cryptocurrency companies are engaged in foreign currency offences. CoinSwitch Kuber has also been notified by ED in relation to the same. The ED has already questioned Sumit Gupta, the founder of CoinDCX, at its headquarters in Bengaluru. His statements were also videotaped, as far as the reports go.
Aims to get 50 million Indians into the cryptocurrency bandwagon this year.
Aims for widespread adoption among new crypto enthusiasts, especially millennials and Generation Z.
Strives to spread awareness about cryptocurrencies.
Looks forward to improve the company’s existing array of products.
Aims to strengthen customer retention campaigns.
Speaking from a development perspective of the app, Neeraj Khandelwal, Co-founder, CoinDCX said, “Most of the app users are in the age group 22 to 45. This app has been introduced to serve a simple purpose; remove the fear of technology, make the market numbers more understandable and provide the ability to make informed decisions in the crypto universe. A smart investor will regularly invest at least 1 percent of his disposable income for Bitcoins in his investment portfolio. People having faith in the future of technology should do the same. The app just makes the induction easy. Buying Bitcoin on CoinDCX Go will be as easy as using any of the popular apps such as WhatsApp, Instagram, Amazon, or booking your cab through Uber.”
The company invested $1.3 million in TryCrypto, its own project aimed at making blockchain and cryptocurrency more available to mainstream consumers, in yet another effort to accelerate mass acceptance of cryptocurrencies.
FAQs
How does CoinDCX work? What does it do?
CoinDCX is a platform that allows users to legally exchange various cryptocurrencies. It is built for all types of traders, taking into account their trading background, risk tolerance, and trading frequency, allowing customers to trade their crypto assets according to their requirements.
Who founded CoinDCX?
CoinDCX was founded by Sumit Gupta and Neeraj Khandelwal in March 2018.
Which companies do CoinDCX compete with?
Top Competitors of CoinDCX are UPHOLD, Binance, Coinbase, Poloniex, LocalBitcoins, HitBTC, Kucoin, C-Cex, Bitso, and WazirX.
How does CoinDCX make money?
Deposit fees (charged on exchanging currencies), withdrawal fees, trading commissions (0.01 percent of the overall transaction is normal on any exchange), and listing fees are how CoinDCX makes money, just like any other cryptocurrency exchange.
How is the CoinDCX funding?
CoinDCX funding is impressive. In fact, CoinDCX is also hailed as the only crypto startup in India to have raised three funding rounds in less than a year.
What is the CoinDCX transaction fees?
If you are wondering about the CoinDCX transaction fees, then you need to know that CoinDCX charges 0.10% commission from both the takers and makers.
Company Profile is an initiative by StartupTalky to publish verified information on different startups and organizations. The content in this post has been approved by 0x.
Traditionally, the financial system was governed by the country’s government as it used to determine the citizen’s economic freedom level. However, blockchain technology now presents an opportunity to create a decentralized global financial system free from the control of a single central body. It allows tokenizing of different forms of value, including fiat currencies, real estate, stocks, cryptocurrencies, debt instruments, and more.
Moreover, the blockchain market size in 2021 was valued at $3,757.49 million and is predicted to reach $190,682 million, which means its growing at CAGR of 54.7% during 2023-2030.
0x is an essential contribution to the tokenized world that has enabled parties to execute and settle token trades freely without any counterparty risks. Read further to uncover more insights about 0x company.
Based in San Francisco, 0x is a privately-held architect of web3 exchange infrastructure. It was founded in 2016 and is an open-source, decentralized exchange infrastructure for the emerging crypto economy. The company enables users to exchange tokenized assets of hundreds of billions of dollars across multiple blockchains.
0x powers multiple NFT projects, including Coinbase NFT, Trader, Gamestop NFT, Genie, and Proof of Beauty. Moreover, it is currently supporting 8 chains- Ethereum, BNB Chain, Celo, Polygon, Fantom, Avalanche, Arbitrum, and Optimism.
CEO of 0x, Will Warren has earned a degree in Mechanical engineering from UC San Diego. He worked in multiple research roles and was appointed as Technical Advisor for Basic Attention Token (BAT) before launching his own company. He has achieved a lot at a young age and won the Consensus 2017 Proof-of-Work Pitch Competition.
Amir Bandeali
Co-founder of 0x, Amir Bandeali has graduated from the University of Illinois with a degree in Finance. He held the role of the trading specialist at Chopper trading and DRW before becoming the CTO of 0x.
Since the launch of the company, the number of employees has increased to 119. Currently, the 0x’s board comprises four members and the team is composed of 32 core members, including engineers, designers, and researchers.
0x – Startup Story
Will Warren and Amir Bandeali shared a belief that all forms of value would be tokenized in coming years and thus, with this belief in mind, they came up with the 0x project in 2016. The main idea behind it was to allow developers and businesses to develop new markets for their tokens on major blockchains- Ethereum and Avalanche.
The startup was successfully launched in August 2017 by conducting an ICO that raised $24 million by selling half of the total supply (500M) of its ZRX token in 24 hours.
The multi-millionaire company also operates the decentralized exchange (DEX) aggregator Matcha- a platform that aids traders in optimizing costs by discovering the best prices across multiple platforms. Moreover, in April, it collaborated with Coinbase- the largest cryptocurrency exchange in the US.
0x envision a world where all forms of value will be tokenized across public blockchains. Combined with a set of open financial primitives, the company is striving to build a transparent and efficient global financial system. Moreover, its mission statement states, “Build a tokenized world where all value can flow freely.” It truly believes that public blockchains can potentially act as a powerful equalizing force to the world.
0x – Trading Model
Based on smart contracts, 0x’s protocol enables the peer-to-peer trading of crypto tokens built on public blockchains. Crypto tokens can include fungible tokens (standard crypto tokens), non-fungible tokens (NFTs), and bundles with different types of assets. Makers and takers are two sides of the 0x ecosystem.
A maker places an order stating what he wants and what he can trade. Each order is shared with counterparties and 0x finds out the order price for the taker. The order is accepted by the taker. In last, the company verifies whether conditions are met and exchange the maker’s and taker’s assets.
What is 0x (ZRX)?
0x – Products
Its exchange architecture comprises orders that are executed on-chain through standardized smart contracts. Projects that use 0x are Paradex, Radar Relay, Ethfinex, and others.
0x Instant, 0x Launch Kit, 0x Mesh, 0x API, and AssetSwapper are the products used by consumers to conduct transactions like purchasing tokens or generating revenue for their businesses.
0x – Funding
Since it has the potential to grow in the future, 49 investors have invested their stakes in the company. Some of its investors are Alex Felix, Applied Crypto ventures, Fabric Ventures, ZMT Capital, Digital Strategies, and Coinbase Ventures.
The total funding amount that 0x has raised over 9 funding rounds is $109 million. The latest funding round was held in April 2022 – 0x Series B Round in which it raised $70 million with the participation of around 14 investors.
Date
Round
Number of Investors
Money Raised
Lead Investor
April 26, 2022
Series B
14
$70 million
Greylock
February 5, 2021
Series A
7
$15 million
Pantera Capital
October 19, 2020
Secondary Market
–
–
–
October 1, 2020
Venture Round
2
–
–
October 1, 2017
Venture Round
1
–
–
July 28, 2017
Seed Round
5
–
–
July 1, 2017
Seed Round
2
–
–
June 29, 2017
Initial Coin Offering
11
$24 million
–
January 1, 2017
Venture Round
1
–
–
0x – Partners
Over the years, 0x has partnered with ZetaChain, Zapper, MetaMask, CoinMarketCap, BlueBit Finance, Prysm, and Rari Capital.
0x – Growth
The estimated annual revenue of 0x in 2022 is $15.5 million per year ($130,000 per employee). The current valuation of this multi-millionaire company is $1.1 billion (April 2022). In addition, it has enabled the flow of over $182 billion in tokenized value across 53M+ trades, with over 5.6M+ users.
0x – Competitors
Some competitors of 0x are Hippo labs, OpenSea, MojitoSwap, Matcha, Uniswap, and ZKSpace.
0x – Future
Ox is planning to integrate new chains (including non-EVM chains), invest in cross-chain functionality, expand its support for NFT swaps, and provide more support to integrators.
FAQs
How does 0x support the growing crypto economy?
0x supports the growing crypto economy by providing a decentralized exchange infrastructure that enables peer-to-peer trading of tokens on the Ethereum blockchain without the need for a centralized intermediary.
What role do 0x tokens (ZRX) play in the ecosystem?
The 0x token (ZRX) is used for decentralized governance, protocol fees, and liquidity rewards on the 0x network. ZRX can also be used to pay transaction fees, as collateral for decentralized loans and margin trading, and to align stakeholder interests in the ecosystem.
Remember when crypto mining was something anyone could do with just a decent computer? Yeah, those days are long gone. Nowadays, mining is a pricey and technical endeavor that’s out of reach for most people. This has led to a situation where mining is centralized in the hands of those who can afford it. But what if we could change all that? PLC Ultima, a new blockchain-based ecosystem, is making crypto mining more accessible to the masses with their new approach to crypto mining: mobile apps.
In decentralized systems like blockchain, the community plays an active role by running nodes that check transactions or launching mining farms to write transaction blocks in the blockchain. In return, active participants are rewarded with digital coins for their work. This is what keeps decentralized systems alive and allows for a fair distribution of rewards. But with the rise of expensive mining equipment and high energy consumption, it’s become harder for regular people to participate in mining.
PLC Ultima’s discovered a solution to this problem: minting. Instead of buying expensive and energy-consuming equipment, minting is done via apps on smartphones. In general, smartphones lack the necessary hardware to perform the complex mathematical calculations required for mining. Cryptocurrency mining requires a dedicated computer with a powerful graphics processing unit (GPU) or application-specific integrated circuit (ASIC) to perform these complex calculations. Smartphones, on the other hand, have less powerful processors and are not designed to handle the intense computations required for mining. Additionally, mining on smartphones would consume a large amount of power, which would have a significant impact on battery life and could lead to overheating. But minting invented by PLC Ultima team is a new approach to the blockchain technology.
Minting makes it accessible to millions of people and allows for a more energy-efficient way of producing new coins. Right now, over 1.5 million people worldwide are using it and that number is only going up. Recently, PLCU, a native coin of the ecosystem, broke into the top of the most popular coins. According to Coingecko, it was included in the list of the ten most trending coins in India among other already well-known cryptocurrencies, such as Bitcoin and Ethereum.
PLC Ultima’s goal is to give people around the world new, high-tech ways to improve their standard of living. The project team doesn’t want the barriers of traditional mining to hold people from evolving economies back from participating in the crypto world. With PLC Ultima’s mobile minting, anyone can join in and earn rewards for supporting the ecosystem. It’s a fresh take on an old concept, and it’s making crypto mining accessible to all. The PLC Ultima blockchain is an updated version of Litecoin blockchain, with a focus on speed and energy efficiency.
The PLC Ultima ecosystem was launched by Alex Reinhardt, a seasoned venture investor, economist, and entrepreneur with a track record of launching successful startups and fintech platforms.
Ditching the expensive equipment and deep technical knowledge, PLC Ultima has revolutionized the game with their mobile-based crypto mining solution. Their two native coins, PLCU and PLCUX, make it easy for users to participate and earn rewards. With PLCU serving as the transactional coin and PLCUX focused on generating new coins, the deflationary model of PLCU ensures scarcity by burning coins and increasing demand on the secondary market.
To get involved with PLC Ultima, all users have to do is download their free apps (Ultima Farm and Ultima Wallet) on their smartphone, register a new account, and buy some PLCUX coins (native coins of the PLC Ultima ecosystem). To start minting, they just freeze a certain number of these PLCUX coins for a certain period of time. They will be rewarded on a monthly basis for storing and freezing coins in their wallets, and the more coins they freeze, the higher the reward.
With PLCUX only tradable for PLCU, which can be found on multiple exchanges, including Gate.io and MEXC, it’s never been easier to start minting and earn rewards all from the convenience of an ordinary mobile device.
Apart from minting, the PLC Ultima ecosystem offers a wide range of actively used services, including PlatinHero, a blockchain-based crowdfunding platform with advanced smart contracts, PlatinDeal, a global marketplace that accepts cryptocurrency payments, Ultima cashback program, and PLC Card, a banking-like card for everyday use with digital assets and high daily limits of up to €150,000.
The article has been published in collaboration with the Binance Team
Crypto is a hot topic nowadays, so wanting to know more about it is only natural. Why do so many people invest in these digital assets? Are they reliable? Can you really become rich by investing in them? When learning about the crypto craze, these questions have probably come to your mind. As you’ve probably figured out until now, crypto is more than a fad and isn’t going anywhere. Some even say digital currencies will be the future of your money, so it only makes sense to learn how they can impact your financial life.
Crypto’s advantages are appealing to many people
Cryptocurrencies are available only in a digital form. They are decentralized, meaning that no financial institutions control them. Bitcoin is the 1st cryptocurrency ever created, which has managed to keep its position as one of the most reliable digital assets. Investors trade cryptocurrencies on exchanges, such as Binance, and they can experience fluctuations in value. For some, they can be a risky investment due to their high volatility. But that doesn’t make cryptocurrencies less valuable. In fact, if you research thoroughly and understand the crypto space, these assets can even give you a passive income. Crypto isn’t tied to the government or financial institutions, which is one of its main advantages, as it gives people control over their money. They don’t have to rely on third parties to store and transfer funds.
Moreover, cryptocurrencies are convenient and provide flexibility. You can use them to purchase services or goods without an intermediary. This makes them a viable option for fiat currencies and traditional banking. They are also more stable since inflation can’t affect them. However, despite these advantages, it’s essential to understand the risks before entering the market because that’s how you’ll increase your profits and avoid unpleasant consequences.
Can you really make money by investing in cryptocurrencies?
Even if cryptocurrencies are risky, they still bring an opportunity to make money. But you must understand how the market works and learn the best strategies to make a profit. For instance, one essential rule is to buy low and sell high, which means taking advantage of the fluctuations in price. Another common strategy investors use is holding crypto until they see an increase in the price. Technical analysis can also be effective, although it can be a bit more complicated.
Whether you can make money with crypto can’t be answered with a yes or no, because your understanding of the market plays a huge role in the final result. And it also depends on your willingness to tolerate risks and accept that there will inevitably be losses. If you can overcome these challenges, cryptocurrency can be a lucrative investment opportunity that can help you grow your wealth. If you study the market carefully, you can make informed investment decisions and earn considerable returns. Plus, crypto can be an efficient way to handle your finances and build another revenue stream.
There are multiple ways to earn with crypto besides buying and selling. For instance, you can mine it, which means verifying transactions and adding them to the immutable ledger, namely, the blockchain. But if this seems too complicated, you can consider staking instead. This is the process of holding coins until they stake and earning rewards for contributing to the network’s security. Lastly, you can also earn crypto through games, which can be fun. These are all efficient ways to enhance your financial life using digital assets. Cryptocurrency provides a unique opportunity, whether you want to save, invest, or earn. Ultimately, you can build up a considerable amount of crypto and increase your earnings along with the rise in the coins’ value.
To build wealth long-term, you need to learn how to take advantage of Crypto
No one would ever say no to wealth. However, you can only become financially comfortable if you put in the effort and take some risks. That also applies to the crypto space. Here’s how you can reap the benefits of investing in cryptocurrency.
Familiarize yourself with the market’s ins and outs. Instead of jumping into crypto investing right away, you should first learn the ins and outs of the market and how it has evolved throughout time. Thus, make sure to educate yourself on aspects such as crypto vocabulary, the different kinds of cryptocurrencies, regulations, market volatility, exchange rates, crypto trends, etc.
Ask for professional support. Don’t hesitate to seek professional support if you feel you can’t navigate the crypto space alone. A financial planner can help you make better investment decisions and develop an efficient plan. Look for financial experts in your area and make sure they specialize in crypto. Then meet up with a few of them and see which one you find most reliable.
Evaluate your financial situation regularly. Your financial outlook won’t always stay the same. Even if you start with a substantial investment, that can change in time due to unforeseen events like a job loss. In that case, your investment commitments will inevitably be altered. This is why it’s essential to evaluate your financial situation constantly and adjust your investments according to your budget. Instead of stopping the investments completely, it’s best to lower them.
Set financial goals. Establishing financial goals is also crucial. While your budget can change, goals can help you stay invested in crypto. Diversifying your portfolio should be among your top goals, as this is key to growing your wealth. Thus, add other investments to your portfolio, such as stocks and mutual funds.
Use crypto where accepted. Some companies accept payment in the form of crypto, so you should use it for purchases whenever possible. Reading about crypto evolution in the business world is different from experiencing it. Paying with crypto can offer a new perspective on digital currencies’ future, which can impact your investment decisions positively.
Conclusion
Your finances matter, so it’s vital to learn how to handle them efficiently and look for opportunities to make a profit. Cryptocurrencies can help with that, but you must understand the rules of investing first; otherwise, you could even end up losing your money. Opportunities are just around the corner in the crypto space, but you must commit to your investments and act strategically.
FTX is a cryptocurrency exchange that was founded in May 2019 by Sam Bankman-Fried and Gary Wang. It was built by the traders and for the traders. While it has its official headquarters in the Bahamas, FTX is managed from the US. Its biggest offices are located in Chicago and Miami.
FTX, along with its competitor, Binance, are international exchanges that process the majority of cryptocurrency trades around the world. Cryptocurrencies are, essentially, a publicly available blockchain that records ownership without the control of any central authority. Following this, FTX follows the bare minimum regulation that exists in the US. However, a bulk of its money flows through its books, unconstrained by regulatory requirements.
Comparison of Global Total Cryptocurrency Gains (2020–2021)
What Happened to FTX?
FTX’s own cryptocurrency is known as FTT. Sam Bankman-Fried, FTX’s co-founder, held billions of dollars’ worth of its own cryptocurrency, FTT, through his other crypto hedge fund, Alameda. This was a claim that appeared in CoinDesk, a crypto industry news service. It also stated that Alameda had been using it as collateral in other loans. This news triggered a crisis, furthering the thought at, if this being the case, a fall in FTT’s value would damage both businesses because of their shared ownership. Further, it prompted questions and fears about the validity of the whole institution, as FTT itself has no value beyond FTX’s longstanding promise to buy any tokens at USD 22.
What added to the burgeoning fear was a tweet by Binance’s Chief Executive Changpeng Zhao which said that his company was selling its FTT holding worth approximately USD 500 million because of recent revelations about FTX. Following this announcement, the value of FTT collapsed and immediately the firm suffered a withdrawal surge as customers began withdrawing funds. Within a period of three days, users withdrew USD 6 billion in crypto tokens from FTX.
Within a couple of days, Changpeng Zhao of Binance announced that his company had reached an agreement to bail out FTX by buying the company with the condition that Binance has the discretion to pull out of the deal at any time. The very next day, Zhao announced that his firm was backing out of the deal. He said – “The issues are beyond our control or ability to help.” Binance claimed that discovered discrepancies in the due diligence process, as well as the US, had launched regulatory investigations into FTX.
Future of FTX
According to Bloomberg, Bankman-Fried said his firm FTX, needed USD 4 billion to stay solvent with a funding gap of USD 8 billion. However, after Binance walked away from the potential distress deal, it is unlikely that FTX will find other backers.
Co-founder and Chairman of Coin Metrics, Nic Carter, said, “Sam needs to abandon his delusions of cobbling together some deal. There’s no one on earth that’s going to bail FTX out, unless the Fed is inclined to do it. It’s just not going to happen.” If FTX folds, it could have a serious and long-lasting negative impact on individual investors, venture capitalists and even other crypto businesses.
Carter continues, “There are going to be big victims here. There will be a lot of innocent victims, not just individuals but also other firms like fintech firms, crypto firms that were providing access to end users. There is going to be some extremely tough knock-on effects.”
The immediate effect of the FTX crisis has caused bitcoin to plummet from USD 20k a coin to USD 16.5k a coin with the wider market falling 5% according to CoinMarketCap. Companies and protocols that have FTX exposure are proving their liquidity. If the FTX exchange fails and closes, there is no clarity on whether any of the bitcoin that function on that protocol would be retrievable. It could lead to a loss of millions of dollars, overnight.
The value of the entire crypto market is currently at USD 800 billion from the last year’s November high of USD 3 trillion. The fall was the mixed result of crypto-specific events and macroeconomic issues. The industry, which has been struggling to convince regulators, investors and customers of its reliability and trustworthiness has suffered a setback that will take a long time to reverse if it does. The overall financial market is quite resilient to the ups and downs of the crypto market, which is a very insignificant systemic threat.
The Aftermath of FTX Downfall
Bitcoin Crashes as FTX Collapses
As unregulated as the crypto market currently is, this sudden collapse has triggered action and the rising concern of the need for a regulatory authority.
The Crackdown
Regulators are working towards freezing parts of FTX’s business, while other divisions file for insolvency or preparing for halting operations.
Scrutiny on Investors
Venture capital firms as well as investment funds which invested heavily in FTX are also facing inquiries.
Sponsorship Deals of Sports
FTX’s collapse has put sports sponsorships worth hundreds of millions of dollars at risk, right from the naming rights for an NBA arena to the patches on MLB Umpire’s uniforms.
Conclusion
Historically, cryptocurrencies have rebounded to new heights following every calamity. It seems to make other crypto ventures stronger. However, in the face of the current turmoil, investors might hold on to their crypto coins on exchanges for a much shorter period of time. They might also only use exchanges as transactional vehicles. The core principals of the other crypto ventures remain unchanged, as recent turmoil may represent a unique opportunity for bullish investors, but with different challenges. Time will tell.
FAQs
What is FTX?
FTX is a cryptocurrency exchange that was founded in May 2019 by Sam Bankman-Fried and Gary Wang. It was built by the traders and for the traders.
How did the FTX crisis affect bitcoin?
The immediate effect of the FTX crisis has caused bitcoin to plummet from USD 20k a coin to USD 16.5k a coin with the wider market falling 5% according to CoinMarketCap.
How much money did FTX need to stay solvent?
According to Bloomberg, Bankman-Fried said his firm FTX, needed USD 4 billion to stay solvent with a funding gap of USD 8 billion. However, after Binance walked away from the potential distress deal, it is unlikely that FTX will find other backers.
The EOS Coin has gained a lot of popularity in the crypto market. The crypto token had a very successful ICO of all time as it raised more than $4 billion.
Due to this many investors are closely looking at the EOS price.
But, is it really worth investing? Read this article till the end to find the answer to this question.
EOS is developed by Block.one and was founded in 2017. It was released as an open-source platform in 2018.
You must have seen many people comparing EOS to Ethereum. This is because EOS is also a blockchain ecosystem through which individuals can create and develop decentralized apps (dApps).
Like many other cryptocurrencies, EOS was created to solve flexibility, scalability, speed issues, and high fees in Ethereum and Bitcoin.
The whitepaper for EOS is written by Dan Larimer and Brendan Blumer and was released in 2017.
EOS wants to be the most powerful infrastructure for dApps. Block.one has provided all the necessary tools and resources to help developers make functional apps quickly. The user-friendly design is its highlighting feature.
Many investors believe that EOS will change how corporations interact by providing decentralized enterprise solutions which can significantly increase productivity.
Interestingly, the owners of EOS coins also have the right to vote on various issues. Using blockchain they can participate in on-chain governance. EOS is also supported by famous investors like Peter Thiel and Michael Novogratz.
What is Unique about EOS Coins?
In the crypto market EOS is a controversial crypto token. But, due to its powerful technology, it has long-term profit potential.
The blockchain technology behind the EOS.IO can empower many industries and businesses. It can change computer resources and how various applications work.
Due to all these impactful reasons, the value of EOS in the long term can increase. The most overlooked factor is that the Block.one CEO and EOS cryptocurrency token’s main developer is Dan Larimer.
He is the person who generated the concept of decentralized autonomous organizations (DAO) and invented proof-of-stake. No wonder he is known as Bill Gates of blockchain.
He was an integral part of the founding of companies like Steemit, Bitshares, and Graphene. Larimer’s involvement in EOS suggests that EOS will be in this race for the long term and its price can also increase.
EOS Price Analysis and Price Potential
To analyze the price potential of EOS we first need to check its history. EOS was traded at around $1 in 2017. But, by the end of the year, it reached a very high price of $11.39.
In April 2018 it skyrocketed and reached its all-time high of $22.89 but it eventually fell to $2.56 by December 2018.
In 2021 the EOS cryptocurrency had a price of $2.61 and increased to $8.72 in April. At the beginning of May, the EOS price spiked to $13.47 and then was fluctuating between $6.15 – $6.30 on 1st June.
Now, predicting the actual value of EOS is quite tough. This is because blockchain technology like EOS is new and still has many years left to show its true potential.
Many investors speculate that blockchain technology will upgrade more and revolutionize many industries. If this happens then EOS has the potential to break its all-time high price.
EOS will continue to jump up and down in the coming years. The analysis given below is by Cryptopolitan.
Note: These are all predictions and not actual figures. No one can accurately predict the price changes of EOS. With that in mind let’s see the predictions.
In 2022, the anticipated minimum price of EOS is $1.64. Considering the average EOS price prediction of $1.70, the price may go as high as $1.92.
In 2023, the EOS future price of EOS cryptocurrency can reach a minimum value of $2.37. The average price for EOS could be $2.45 with a maximum price of $2.85.
The minimum price of EOS in 2024 could be $3.57 and the average selling price can reach $3.67. It can touch a maximum price of $4.14.
In 2025, the cost of 1 EOS can reach $5.09. Throughout the year the coin will carry an average price of $5.28. The EOS price can go as high as $6.18.
The minimum price of EOS in 2026 is predicted to be $7.45 with an average anticipated price of $7.67. The coin can go as high as $8.64.
In 2027, the lowest price of EOS is predicted to be $10.86 with an average trading value of $11.25. While the highest price of EOS could be $13.12.
In 2028, the minimum price could be $15.89 with an average selling price of $16.34. The highest the EOS could reach is $18.99.
It is predicted that EOS in 2029 will reach a minimum price of $24.27 with the average price being $24.92. The maximum price of EOS in 2029 will be $27.76.
In 2030, the lowest the coin could reach is $34.17. EOS will have an average trading price of $35.17 and the highest price predicted is $41.52.
In 2031, EOS will have the lowest price of $49.33. The highest it can reach is $60.40, with an average prediction price of $51.09.
You need to understand that the crypto market is unpredictable and these predictions shouldn’t be your only deciding factor for investing in crypto.
Expert Views on EOS Coin
Jihan Wu, CEO of Bitmain said that the EOSIO protocol is a great example of blockchain innovation. Its performance and scalability can meet the needs of demanding consumer applications and will pave the way for mainstream blockchain adoption.
Galaxy Digital which is a crypto investment firm has made a huge investment in this project. Founder Michael Novogratz said that EOS had significant outperformance compared to the rest of his company’s portfolio.
Wallet Investor suggests that EOS can be a good long-term investment.
Edgar Fernandez, EOS Costa Rica Co-Founder said, “EOS has the potential to create millions of verified human EOSIO based accounts if there’s a use case behind it, whether that’s regulatory, in the private industry, or public sector. It could be anything from decentralised ID to efficiency in customs agencies, to issuing bonds on a blockchain, to tokenized fiat money, or the traceability of vaccines”.
EOS is a good investment in the long run. But, if you are looking for a short-term investment then EOS is not a good choice for you. Your investment decision will depend upon your price analysis, fundamental analysis, and future situations in blockchain technology.
The development in blockchain development and how it will replace a lot of things indicate that EOS has a bright future. Although there is no definite answer to this question. It depends upon your investment style and taste.
As you know the crypto market is unpredictable and we cannot advise you anything. How much risk investors should take will depend upon their comfort and income. But, as you have noticed through the EOS coin numbers and what other investors think EOS can benefit you if you make the right decisions at the right time.
FAQ
Who is the founder of EOS?
Dan Larimer is the founder of EOS.
When was EOS crypto founded?
The Alpha release of EOS crypto was in 2018 and the latest release was in 2020.
Is EOS a good investment?
According to experts and forecasts, EOS is a great long-term investment.
Company Profile is an initiative by StartupTalky to publish verified information on different startups and organizations. The content in this post has been approved by Vauld.
If we talk about investments, assets such as gold, bank deposits, buying of lands, real estate, and the stock market come to our mind. It has been a while, and a new form of investment is drawing attention in the market today – cryptocurrency.
This latest type of investment sometimes referred to as crypto-currency or crypto, is a form of digital currency that is backed by a technology called ‘blockchain’ that allows users to exist outside the controls of the government and other central authorities. Over the years, the world seems to have a knack for this, particularly bitcoins, which is boasting 14 million value of bitcoins in circulation.
‘Crypto’ generally means virtual currencies that are secured by cryptographic systems. These systems allow users to make payments securely without the help of any third-party intermediary.
Today, many investors are speculating about the possible outcomes of cryptocurrency in the current market. They are assuming that the use of crypto is likely to continue until a certain level of pricing stability and market acceptance is attained from the government and bank sectors.
The government and banks’ recklessness in changing monetary policies at any time and any moment made many taxpayers suffer. No matter how irresponsible the government and bank sectors can be, it is always the taxpayer who has to pay for them. This way, the concept of cryptocurrency was introduced with the intent to change the financial infrastructure.
This is where the company Vauld comes into the scene. Founded in 2018, Vauld is a crypto-lending startup that was built to offer banking solutions to its customers through blockchain technology. To have a full understanding of Vauld, read this article to know about its journey so far, its founders and team, its business model, revenue, and the challenges faced by them.
Vauld started with an aim to offer its services as a customer-centric banking solution leveraging blockchain. They intend to treat customers’ cryptocurrencies as separate assets nullifying the need for the government’s acceptance.
Vauld works in a way that when any customer deposits funds to their wallet, it goes into a centralised pool. From there, the funds are allocated to borrowers, which are maintained for withdrawals on the platform.
This allows the company to give interest to its users. The loans offered by Vauld to borrowers are totally-risk free. All these loans are over-collateralised, which are usually repaid to the users after 30 days.
Vauld also has a community where they encourage everyone to discuss about crypto. From feedback and ideas, a crypto circle to discuss topics related to crypto, developers to build a system using Vauld’s APIs, to know everything about them under the news community.
Vauld – Founders
Darshan Bathija
Darshan Bathija, co-founder of Vauld
Before starting his own company, Darshan Bathija worked in companies like TapChief(acquired by Unacademy) and Piramal Enterprises Limited. A graduate from BITS Pilani, Darshan founded Vauld in 2018 intending to decentralise money through blockchain. He is the co-founder and CEO of Vauld.
Sanju Sony Kurian
Sanju Sony Kurian, co-founder of Vauld
Sanju Sony Kurian holds a degree from the Cochin Institute of Science and Technology. Before becoming the co-founder and CTO of Vauld, Sanju worked as Technology Director in Kings Learning. He is passionate about engineering and loves to volunteer and give speeches.
Vauld – Mission and Vision
Vauld wants to execute its vision with one aim: that is by offering a holistic banking system.
The company wants to set an easy and convenient platform for its customers to spend money in the place of their choice on an efficient system.
The company’s vision statement reads, “We aim to enable the core elements of banking to every crypto user. So that Vauld user would get: Store of Value, Easy Spending, Capital Growth, and Exchange.”
Vauld – Name, Tagline, and Logo
Vauld’s tagline says, “Earn. Borrow. Trade.
Vauld Logo
Vauld – Growth
Vauld was founded in 2018. In that year, Vauld used to be Boh (Bank of Holders) and came up with secure Bitcoin and Ethereum Wallets.
In 2019, the company introduced peer-to-peer lending and borrowing of funds. Later that year, the company had its major website revamp with an instant token swap, which led to instant buy and sell in INR.
In 2020, Boh was rebranded to Vauld and introduced Android and iOS apps. In 2021, the company raised $25 million in funds from Valar Ventures and Coinbase ventures.
Vauld – Business and Revenue Model
Vauld lets its users deposit funds in their centralised pool system. The funds which are allocated are lent out to borrowers with a certain interest amount. The loans are collateralised to an extent up to 150% and are usually repaid within 30 days.
Vauld stores the funds collected in their trusted exchange system called Binance to facilitate trades on their order books.
Vauld gives about 11.57% interest rates to its customers. The company boasts of having the best interest rates and trading fees in the industry today. They do not charge anything extra for every deposit a customer makes. Their entire process is based on transparency with no hidden charges.
Vauld – Funding and Investors
Vauld has raised funds of about $27.5 million. The company has a total of 20 investors.
Date
Funding Round
Funding Amount
Investors
Jul 29, 2021
Series A
$25M
Valar ventures, Pantera Capital
Dec 28, 2020
Seed
$2M
Pantera Capital, Coinbase
Jun 1, 2020
Seed
$500k
LuneX Ventures
Vauld – Challenges Faced
Quite recently, the crypto market saw a crash that had never been seen before. Reports suggest that this happened in May and June after the collapse of the group Terraform Lab’s UST stablecoin and Three Arrows Capital defaulted their loans.
The aftermath of this crash has led the Co-founder of Vauld to halt their withdrawals, trading, and deposits by 30%. The decision has been made because of the economic slowdown and inconsistent marketing conditions.
Due to this uncertain circumstance, the company is currently facing financial difficulties, as a result, a lot of customers have withdrawn amounts exceeding over $197.7 million since the crash of the cryptocurrency market.
Moreover, the company has reduced its marketing expenses and executive compensation by 50% and paused every vendor engagement. However, the company claims to make specific arrangements for certain customers who need help with their collateralised loans if necessary.
Vauld – Competitors
The following are some of its competitors of Vauld:
Bakkt
Abra
BabelFinance
Amber Group
WeAlwin Technologies
Ramp network
CoinDCX
Vauld – Future Plans
Although the company had planned to introduce cards and cross token payments, and bank accounts for the future. The current condition of the economy made them take a painful decision.
As of now, Vauld has suspended all its operations because of the unexpected crypto market crash. The company is currently having a difficult time, which is why it is challenging to know what the future holds for them.
FAQs
Is Vauld an Indian Company?
No, Vauld is a Singapore-based crypto platform founded by Darshan Bathija and Sanju Sony Kurian in 2018.
How does Vauld work?
When you deposit funds to your Vauld wallet it goes into a centralised pool. From there, the funds are allocated to borrowers, which are maintained for withdrawals on the platform.
Who are the founders of Vauld?
Vauld was founded by Darshan Bathija and Sanju Sony Kurian in 2018.
Nitin Konde
