Published
2 years ago on
April 19, 2022
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The Indian crypto exchange has raised $135 million in its latest funding round, at an over $2 billion valuation, which is double what it was eight months back.
Series D Rakes In $135M
The 30% crypto tax that went into effect this month does not seem to have affected funding rounds held by Indian crypto startups. CoinDCX’s latest Series D financing round successfully raised around $135 million and doubled the company’s valuation in just eight months to $2.15 billion. The funding was co-led by leading investment firm Steadview Capital and asset management company Pantera Capital, with participation from Coinbase Ventures, Kingsway, DraperDragon, Republic, and Kindred.
Talking about the funding, co-founder and CEO Sumit Gupta said,
“What is interesting about this round is the quality of investors who’re coming in and the kind of strong confidence they have shown on the market. It gives a good boost to the overall industry.”
In 2021, CoinDCX made history as the first crypto-based Indian startup to gain ‘unicorn’ status after a $1 billion valuation. With the Series D round, the total funds raised by CoinDCX add up to over $245 million.
CoinDCX Future Plans
Back in November 2021, when the industry was still awaiting the announcement of crypto regulations with bated breath, the other CoinDCX co-founder, Neeraj Khandelwal had spoken about the future of the crypto exchange in an interview.
“As soon as the government or the situations allow us, we will try for an IPO. An IPO gives legitimacy to the industry, just like the Coinbase IPO gave a lot of confidence in the crypto markets. Similarly, we want to instill a similar level of confidence with an IPO of CoinDCX.”
More recently, the crypto exchange has been raising funds for its aggressive expansion strategies devised around new product offerings. For example, the company recently launched an investment program that allows individuals to keep putting a fixed amount into crypto every month.
Crypto Tax Effects On CoinDCX
Furthermore, the exchange is also planning on using a part of the capital raised to mitigate some of the effects of being tax compliant. Gupta confirmed that other than the 30% crypto tax, the 1% TDS has also made business harder for high-frequency traders, as these deductions are being imposed on each transaction. He says,
“We continue to see new users come to the platform, but the growth is not as high as it used to be, say, two months ago. We will do whatever it takes to give more comfort to the regulators.”
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
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