TaxBit, a US-headquartered developer of automated tax and accounting software for digital currencies, received $100m on Tuesday in a series A round featuring digital payment processor PayPal and cryptocurrency exchange Coinbase.
Crypto-focused investment firm Paradigm and hedge fund manager Tiger Global Management co-led the round, while the corporates participated through PayPal Ventures and Coinbase Ventures respectively.
The round included Winklevoss Capital, Galaxy Digital, Valar Ventures, Collaborative Fund, Global Founders Capital, Album Ventures, TTV Capital, Original Capital and angel investors Bill Ackman, Ryan Smith, Anthony Pompliano and Michael Vaughan.
TaxBit has created a software platform that helps enterprise, consumer and government customers automate the tax compliance process for cryptocurrency. It plans to launch an enterprise resource planning software product later this year.
Austin Woodward, chief executive of TaxBit, said: “The past 12 months at TaxBit have been monumental, as our products are removing some of the largest roadblocks of this emerging asset class.
With the support of Paradigm, Tiger Global and many other amazing investors, we are excited to continue to scale world-class tax and accounting products so that cryptocurrency can continue to thrive among enterprises, consumers and governments.”
The company secured $750,000 in a 2018 pre-seed round led by Album VC, according to a securities filing, adding $5m from Album VC, TTV Capital, Collaborative Fund, Winklevoss Capital, Global Founders Capital, Dragonfly Capital Partners, Valar Ventures and Table Management in January 2020.
