Digital asset lending firm BlockFi has acquired $30 million in funding from several major investors including Arrington XRP Capital, Morgan Creek Digital Assets, and Winklevoss Capital.
BlockFi’s Series B investment round was led by US-headquartered VC fund Valar Ventures. Akuna Capital, CMT Digital, Avon Ventures, Castle Island Ventures, Purple Arch Ventures, Kenetic Capital, and Hong Kong-headquartered HashKey Capital also took part in BlockFi’s latest round.
BlockFi aims to use the capital raised to hire new staff members and further expand its product offering. The crypto lending firm offers clients the opportunity to earn compound interest on and trade loans backed by financial assets. BlockFi reportedly has over $650 million in assets under management on its platform.
According to a press release, BlockFi said that it will introduce products that will be accessible to more mainstream investors. The company is planning to launch a mobile app with the next few months.
Flori Marquez, co-founder at BlockFi and VP of operations, said:
“We’ve demonstrated that we can build financial products around cryptocurrency that can look and feel like the apps you already have on your phone, and we’re well-positioned to drive mainstream adoption.”
BlockFi’s initial annual percentage yield (APY) on digital assets is 8.6% for Bitcoin (BTC), Ether (ETH) and major stablecoins. The firm also offers several cryptocurrency-backed loans that let users gain access to liquidity of up to 50% of the underlying asset’s value in US dollars, and also provides zero-commission trading options.