CoinDCX Tops $2 Billion Valuation in New $135 Million Funding

CoinDCX Tops $2 Billion Valuation in New $135 Million Funding 

 

The platform’s valuation has doubled to $2.15 billion after its $135 million Series D fundraise, eight months after it turned unicorn.

The Indian crypto industry is facing a number of challenges, including 30% taxation and the withdrawal of bank support, which has hampered platform transactions. Even as exchanges struggle to keep payment methods live on their platforms, CoinDCX's fundraising has managed to resist the trend.

The platform’s valuation has doubled to $2.15 billion after its $135 million Series D fundraise, eight months after it turned unicorn. The round was led by Pantera and Steadview with participation from investors such as Kingsway, DraperDragon, Republic, and Kindred. The round also saw existing investors such as B Capital Group, Coinbase, Polychain, and Cadenza increase their investments, the company said.

In an interview with Moneycontrol following the announcement, CoinDCX’s co-founders Sumit Gupta and Neeraj Khandelwal said that international expansion is on the company’s radar, while it continues to build for the Indian market.

Speaking to TechCrunch, Sumit Gupta, co-founder and chief executive of CoinDCX, 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 in the market." "It gives a good boost to the overall industry."

Gupta, who is also the CEO of the company, said that he expects disruptions in payment modes to be temporary. These disruptions began after Coinbase’s public announcement allowing UPI on its platform, to which NPCI responded by saying that it was not aware of any crypto exchanges using UPI. Banks since then have been more cautious about openly associating with crypto exchanges.

"NPCI’s statement did make banks want to take it slow and now discussions are ongoing." But very soon, we’ll see all of it going back to normal because banks fundamentally want to work with crypto companies "says Gupta.

Plunging volumes are making it difficult for smaller exchanges to sustain. However, Gupta also believes that the industry will soon see a consolidation, perhaps even before the end of this year.