Ribbit Capital, a US-based venture capital firm hopes to raise $420 million for its latest blockchain related fund, according to its SEC filing.
Ribbit Capital, the venture capital firm founded by Meyer ‘Micky’ Malka (a FinTech entrepreneur) has built a large portfolio of reputable blockchain and cryptocurrency projects, and this oncoming fund will be its fifth venture in the blockchain space with limited partners. Notably, the $420 million is a nominal increase from the previous $300 million attained from projects last year.
At present, specific details on the fund have not come out yet.
The ‘sole link’
Founded in 2012, Ribbit Capital’s portfolio includes industry heavyweights such as Coinbase the largest crypto brokerage, the Robinhood crypto exchange platform, Credit Karma, and Root Insurance. Additionally, Ribbit has also has institutional partners in Andreesen Horowitz, Cross River Bank, and Battery Ventures. According to TechCrunch, Ribbit Cappital offers the ‘sole link’ between regulated financial institutions and fintech companies.
This development comes hot on the heels of a similar move by UK-based alternative banking app Revolut, which ended up raising $250 million in a Series C investment round that was led by Ribbit capital with the help of Index ventures and DST Global, other prominent VC firms. With these raised funds, Ribbit Capital has built an overall $1.7 billion valuation, making them a ‘unicorn’ (a startup with a valuation of over $1 billion).
On the other hand, Robinood started offering digital currency trading services in February after raising $363 million in a Series D round and $110 million in a Series C round. By the end of these funding rounds, Robinhood garnered a $5. billion valuation, making them the most valuable fintech start-up in the US history.
More to come?
It will be interesting to see how far this current fund will go, especially considering the remarkable portfolio Ribbit has amassed within six years from 2012, when the company started with a valuation roughly under $50 million. Although the cryptocurrency market is in a bear state, many institutional players still think the market has much more room for growth in relation to the levels reached in late 2017.