Cryptocurrency wallet provider ZenGo has raised funding in a Series A extension round. The Israel-based startup hopes to raise $10 million through convertible bonds before targeting a full Series B round later this year, according to pitch materials obtained by The Block.
ZenGo, a Cryptocurrency Wallet, is Raising Funds at a Flat Valuation of $100 Million
According to another pitch message from The Block, the Series A renewal comes with the same $100 million post-money valuation as ZenGo’s Series A round about two years ago. ZenGo received $20 million in Series A funding in April 2021 from investors including Insight Partners, Austin Rief Ventures and Samsung Next. It did not disclose a valuation at the time.
ZenGo co-founder and CEO Ouriel Ohayon said: “We routinely talk to investors all the time that express interest in our company but cannot comment further on any rumored operation.”
The fundraising comes at a time when the popularity of non-custodial wallets has skyrocketed following last year’s high-profile cryptocurrency meltdowns, including FTX, Celsius and BlockFi. ZenGo offers a software wallet that allows users to store their crypto assets themselves, rather than trusting centralized players. It saw record downloads following FTX’s November bankruptcy, which froze billions in client funds.
In addition, Ohayon also stated: “ZenGo was built for a moment like this. For years we’ve focused on creating the most secure non-custodial crypto wallet with no private key vulnerability, powered by next-gen MPC cryptography.”
MPC stands for multi-party computation; the technology is often used in self-custody tools where multiple devices can validate a transaction, eliminating the possibility of a single point of failure.
Deck says ZenGo currently has more than 800,000 registered users and is aiming for 2 million users and $1 million to $2 million in annual revenue this year. In recent weeks, several cryptocurrency wallets have announced new funding rounds. These include raising OneKey at an $85 million valuation, Blocto at an $80 million valuation, and Exodus raising over $59 million in a share subscription.
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