Today cryptocurrency trading platform Celsius announced raising over $400 M in equity funding. The investment was led by the growth-oriented investment firm WestCap.
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With this, the company's valuation has reached $3 billion.The news comes after Celsius's facing scrutiny. Last month, the New Jersey Bureau of Securities ordered Celsius to suspend unregistered interest-bearing investments. Regulators in Texas, Alabama, and Kentucky released similar halts.
Talking about the raised amount, CEO Alex Mashinsky said he hoped the raised amount will convince regulatory bodies that the crypto lending business is stable and help the sector to enter the broader financial fields. Mashinsky said it's not about the amount but the trust that comes with the people who invested.
Established in 2017, the UK-based company offers customers interest on crypto deposits. Celsius launched its own token CEL in 2018, through which users earn rewards. Currently, CEL trades at around $5.74 with a market cap of over $1.3 billion. It’s the 75th largest crypto by this indicator.