NYDIG is a startup that specializes in solutions for institutional bitcoin investors. And it recently raised a whopping $1 billion at a $7 billion valuation.
Here’s an excerpt from CoinDesk’s reporting:
NYDIG said Tuesday it raised a stunning $1 billion in a funding round that will value the firm at over $7 billion — and potentially expand bitcoin’s reach into “any industry,” CEO Robert Gutmann said in a statement.
The round was led by WestCap and joined by Bessemer Venture Partners, FinTech Collective and existing investors Affirm, FIS, Fiserv, MassMutual, Morgan Stanley and New York Life, a press release said.
That’s quite a funding round for a company that probably doesn’t have all that much revenue yet.
This is another confirmation that venture capitalists and other institutional investors continue to shovel piles of money into crypto startups.
I continue to look for promising crypto startups at reasonable valuations. But they’re few and far between these days. Anything with even a tiny bit of traction is raising huge amounts of cash at very rich valuations.
I’ve invested in one crypto startup over the last year (Moon), and that was because I met the founder and was very impressed with him.
I suspect at some point in the next few years we’ll have the opportunity to get much better prices – maybe in the next crypto bear market. So I’m mostly holding off on crypto investments at this time (equity and tokens alike).
Still, I’m very bullish on the crypto and decentralized finance space long term. I think that we will see a huge wave of disruption of traditional financial markets over the next decade.