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UK crypto startup BVNK raises £32m despite troubling market conditions

BVNK

London-based cryptocurrency startup BVNK has closed a $40m (£32.8m) funding round at a $340m (£262m) valuation.

The Series A round was led by Tiger Global, with participation from the Raba Partnership, Avenir, Kingsway Capital, Nordstar, Concentric, Base Capital and a host of angel investors.

Tiger Global led the round, despite reports earlier this week that the hedge fund had been hit by losses of $17bn (£13.9bn), one of the largest declines for a hedge fund in history, first reported by The Financial Times.

BVNK provides financial services to businesses using cryptocurrency. Trying to bridge the gap between crypto and fiat currency, BVNK offers banking and money management services to companies struggling to balance operations across traditional and digital assets.

Seeking to be a kind of bank for crypto companies, BVNK claims it can replace many of the services traditional banks can provide to businesses. Customers can make and collect payments through their BVNK account in both fiat and cryptocurrency, as well as being able to purchase new digital assets via BVNK.

As a demonstration of the company’s commitment to crypto technology, customers can pay for its services with either fiat or cryptocurrency.

The company started as a consumer-focused crypto exchange but has since pivoted to a business-facing product offering.

“We launched originally as a retail business and now it’s a purely B2B business. We spent the last year head-hunting the best talent in the crypto space. We now have 120 people in the company,” said the company co-founder and CEO Jesse Hemson-Struthers in an interview with TechCrunch.

BVNK have found new funding despite the current turbulent period for cryptocurrencies as digital assets like Bitcoin are plummeting in price.

Data site CoinMarketCap revealed earlier this week that the global market value of cryptoassets dropped by nearly $800bn over the past month.