BlockFi confirms $350 million Series D funding round at $3 billion valuation

Quick Take

  • Lender BlockFi has confirmed it has closed a round, raising $350 million at a $3 billion valuation.
  • Tiger Global and Bain Capital Ventures are participating. 
  • The round closes following a period of rapid growth for the firm, which reports monthly revenues of $50 million.

After much anticipation, crypto lending startup BlockFi has confirmed the closing of a blockbuster Series D round that values the company at $3 billion. 

In a media release, the firm said it has raised $350 million from a wide range of investors including Tiger Global and Bain Capital Ventures, confirming previous reporting by The Block. 

The firm — which has a business that spans lending, trading, and asset management — now counts a wide-range of crypto native and traditional investors as backers including Valar Ventures, which led its Series B funding round last year. To date, the firm has raised about $450 million from investors including Anthony Pompliano, Jump Capital, Castle Island Ventures, and CMS Holdings.  

The latest capital raise follows a period of rapid growth for the company. The firm has grown its business to cover a retail and institutional client base of more than 225,000. It oversees more than $15 billion and reports monthly revenues of $50 million. 

Still, that growth has come with its hiccups, including mounting questions about how BlockFi makes money. Specifically, detractors have raised questions about the ramifications of Grayscale's Bitcoin Trust trading at a discount for the firm. BlockFi profits from the famed GBTC premium trade in which investors can lock up bitcoin into GBTC and collect the spread between the trust shares and the underlying net asset value of the bitcoin held by the trust. 


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"In less than six months since we completed our Series C, bitcoin and other digital assets have assumed a central role in many investors' portfolios and in broader financial markets," said BlockFi co-founder and CEO Zac Prince. "Our conviction that digital assets are the future of finance has been vindicated by our client base, which grew 10X YoY in 2020 and has more than doubled since the end of 2020."

BlockFi has been building out its team to support its foray into asset management. The firm is looking for a head of trust products to helm its BlockFi Bitcoin Trust, which was first unveiled in February. It is also looking to fill a head of asset management role. 

Looking forward, BlockFi said the injection of capital will help with the upcoming launch of its bitcoin credit card. The money will also help BlockFi expand internationally and make strategic acquisitions.

The firm also expects to grow its headcount from 500 to about 1,000 by the end of 2021. 

© 2023 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

About Author

Frank Chaparro is the Editor At Large at The Block. Chaparro started his career at Business Insider, where he specialized in the intersection of digital assets and Wall Street, market structure, and financial technology. Soon after joining Business Insider out of Fordham University, Chaparro was interviewing top finance and tech executives, including billionaire Mark Cuban, “Flash Boys” star Brad Katsuyama, Cboe Global Markets CEO Ed Tilly, and New York Stock Exchange President Tom Farley. In 2018, he become a sought after reporter in the crypto world, interviewing luminaries such as Tyler Winklevoss, the cofounder of Gemini, Jeremy Allaire, the CEO of Circle, and Fundstrat head Tom Lee. He runs his own podcast The Scoop and writes a biweekly eponymous newsletter. He leads special projects, including The Block's flagship podcast, The Scoop. Prior to The Block, he held roles at Business Insider, NPR, and Nasdaq. For inquiries or tips, email [email protected].