Nilos, a startup that aims to build a unified platform for managing crypto and fiat treasuries, raised $5.2 million in a round led by Viola Ventures and Fabric Ventures.
The deal, which closed in April, also involved investors such as Mensch Capital Partners, and angels backers including The Sandbox co-founder Sebastien Borget and the former deputy CEO of French banking giant Société Générale, according to an announcement today. Nilos did not disclose its valuation.
Nilos aims to unify crypto wallets, fiat corporate accounts, and payment service providers so that income, money flows and payments can be tracked on one platform. It will also allow crypto to fiat currency payouts, the ability to create accounting reports on such data, and can monitor suspicious sources of funds in line with anti-money laundering requirements.
“We are big believers in web3 infrastructure plays," said Omry Ben David, partner at Viola Ventures. "The Nilos team is solving a huge gap, bridging financial and treasury services for both web2 and web3 companies who are looking to embed on-chain revenues with their fiat operations in a seamless, compliant and secure way."
Nilos said in the announcement that it wants to tap into the growing number of businesses that find themselves dealing with both fiat and crypto treasuries, or those that are looking to get into crypto. It says its clients include AnotherBlock, Rocket3, Metafight, and Rarecubes.
As things stand, companies have to deal with two very separate financial systems to keep track of multiple accounts, which can throw up a host of compliance issues.
The company will use the funding to bring in new clients, finance research and development, and build the sales and marketing team.
The news follows a number of recent rounds closed by startups building the accounting software for businesses with crypto exposure.
Yesterday, web3 accounting software Tres raised $7.6 million in seed funding. In March, Coinbooks raised $3.2 million to build accounting software for decentralized autonomous organizations (DAOs). In June, Request Finance, which automates payroll for crypto companies, won the backing of venture capital firm Balderton Capital and gaming firm Animoca Brands in a $5.5 million seed round.
According to The Block Research, 22% of August's blockchain seed and pre-Series A deals came from the infrastructure sub-sector — second only to NFTs and gaming.
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