US-based security token developer Securitize has raised $12.5m in a series A round that included cryptocurrency exchange Coinbase and money transfer platform Ripple, TechCrunch reported on Tuesday.
Coinbase and Ripple, which participated in the round through their respective corporate venturing funds Coinbase Ventures and Xpring, were joined by venture capital firm Global Brain and Blockchain Capital, which led the round.
Securitize helps businesses and companies create and manage blockchain-based security tokens. It offers services including crypto and fiat escrow, token distribution, digital wallet management, document handling, investor communications, know your customer and anti-money laundering checks and a document signature tool.
The series A round comes ahead of its digital security offering which is expected next year.
In April 2016, Coinbase launched Coinbase Ventures, a corporate venturing fund aimed at early-stage startups in the cryptocurrency space. The company said it will initially invest in companies without a requirement to formalise strategic partnerships.
A month later, Ripple launched its own corporate venturing arm called Xpring, which incubates, acquires and supplies equity and grant funding to startups or projects that use Ripple’s XRP digital asset and ledger technology.