In a Series D funding round, Indian-based crypto exchange CoinDCX saw its valuation double as it raised a total of US$135.9-million, which was led by Pantera and Steadview Capital which was participated by the likes of Facebook founder Eduardo Saverin’s B Capital. The Series D funding also saw Coinbase Ventures, DraperDragon, Republic Capital, and Kindred Ventures participation.
The Indian cryptocurrency exchange looks to ride on the popularity of the crypto and Web3 industries in India, making it the most valued crypto company in India, surpassing CoinSwitch Kuber.
At the back of the Series D funding, the company is looking to expand its product offering aggressively and talent base, including some to double down on compliances in the World’s second-largest internet market. This would see a ramp-up in the startup’s workforce from currently employing about 400 people to 1,000 by the end of the year.
Last year, the startup was the first Indian crypto firm to attain a unicorn status. The company also claims that it has amassed over 10 million users, with users being allowed to buy various tokens for as low as US$1.3 (100 Indian rupees. Additionally, CoinDCX also provides margin trading and the option to stake digital assets.
However, it has not all been smooth sailing for CoinDCX as crypto exchanges face newly introduced taxation rules that would tax 30% on the income and include a 1% tax deduction at the source for each trading.
This has significantly impacted all crypto exchange’s trading volumes in the country that saw its peers, like WazirX and CoinSwitch Kuber having their volumes plummet to new lows this month due to restricted access to modes of depositing money for users.
The startup has also partnered with crypto-native trade surveillance and market integrity players such as Soludys Labs and Coinfirm to strengthen its anti-money laundering protection and provide precise and holistic detection and reporting of suspicious activity. These partnerships would see CoinDCX improve compliance with the Financial Action Task Force’s (FATF) recommendations.