US-headquartered Bitcoin technology producer Nydig raised $1bn yesterday from investors including financial technology providers Affirm, FIS and Fiserv and insurance firms Massachusetts Mutual Life and New York Life.
Growth equity firm WestCap led the round at a valuation above $7bn. It also featured investment banking firm Morgan Stanley and venture capital firms Bessemer Venture Partners (BVP) and FinTech Collective.
Founded in 2017, Nydig has built a technology platform that enables businesses to build products centred on the Bitcoin cryptocurrency for use in areas such as investment and trading, asset-backed lending, payroll and loyalty and rewards schemes.
MassMutual and New York Life joined Nydig’s parent, asset manager Stone Ridge Holdings, as well as Morgan Stanley, BVP, FinTech Collective, Soros Fund Management and FS Investments in a $200m round for the company in March this year.
Nydig added $100m from insurers including Starr and Liberty Mutual the following month to increase its overall equity funding to $350m.
Robert Gutmann, Nydig’s co-founder and chief executive, said: “The prospects for both Nydig and Bitcoin have never been more exciting.
“Our roster of partnerships and strategic investors lays the foundation for Nydig to become the leading provider of Bitcoin solutions for businesses in any industry, and this new equity capital will further accelerate progress towards making this exciting network accessible – and useful – to all.”
