Blockchain Technology Firm ConsenSys Announced $65M Raise

ConsenSys Software Inc. just declared a notable $65M new funding from the investors. J.P. Morgan, Mastercard, UBS Group AG, Protocol Labs, Fenbushi are some of the big names involved in this bulky investment. Alameda Research, SNZ Holding, Maker Foundation, LAO, CMT Digital, NGC Ventures, Quotidian Ventures have also been some of the biggest contributors to the funding.

The investment mostly came from Ethereum-based blockchain investors. Fiat, investors of crypto coins, USDC, & DAI are also on the list of additional investors.

If you’re wondering how it’s a big deal, remember that Consensys is one of the leading companies that develop software for Ethereum based cryptocurrency. Ethereum uses decentralized finance or shortly known as the DeFi system that substitutes traditional banking system with a smarter, more accessible, and widely available transaction system.

Big shots investing in Consensys can only mean that such DeFi digital currency or cryptocurrency will hold the key to the next generation finance system. 

The Ethereum blockchain developer studio looks forward to holding its financial growth with global expansion, thanks to these recent investments.

And the software technology startup aims at accelerating its decentralized financial convergence with web3 applications as well.

“ConsenSys managed new funds to enable further financial growth”

Joe Lubin, the founder of ConsenSys, revealed to Bloomberg that the funding arrived in an unpriced convertible note. So it has yet to change into equity, depending on a future financing round.

Therefore, the company is yet to hold a public value in the market. Again, he claimed the capability of building things on purpose to another interview. He revealed the intention of creating the VC capital at a time of hardship.

ConsenSys already acquired J.P. Morgan’s Quorum, its marquee blockchain unit in August 2020. And the deal allowed the bank to make a strategic investment in ConsenSys.

The intended funding took place at a time when financial firms are testing out different steps to utilize the cryptocurrency. BNY Mellon, Mastercard & BlackRock are trying out cryptocurrencies for making payment, investment & other transaction purposes.

What else to expect in the future

The Brooklyn-based company remains one prominent startup to experience rapid growth in 2017. In fact, the crypto bubble immediately turned the Ethereum firm to found in 2014.

Its original focus on Ethereum blockchain implementation went somewhat well with Microsoft Corporation regarding Azure. But ConsenSys later shifted its focus onto Defi. It’s one blockchain-based finance to remain free from central intermediaries.

Additionally, the company initiated a deliberate restructuring in 2020 to separate the investment activities from its software business. It also launched a compliance service that enables conceivable exchange with decentralized finance project activities.

As a result, the rapid growth in Defi apparently thrived the idea. An already reported growth of 143% comes with a $37.69BN locked value in 2021 alone.

The company also offers several other products like Diligence, Truffle, Infura & MetaMask. Its clients include Microsoft, Ernst, and Young, Amazon Web Services, Proctor and Gamble. MetaMask alone is likely to have 3 million active users per month.

Lubin was confident that Ethereum will proceed smoothly after the stalking part. He compared the blockchain network with an $8BN investment behind to bond offering. ‘It’s just mind-blowing’ he said in an interview. So time will tell how this cryptocurrency advances from here on.

Picture of Suez Halder

Suez Halder

Suez Halder is an experienced cryptocurrency & blockchain reporter and analyst who covers different aspects of online trading on 'Social Trading 101'. Taking direct part in crypto trading from 2017, he specializes in evaluating the cryptocurrency & blockchain viability.


Join Thousands of others getting the weekly posts.