Crypto Security Company Fireblocks Raises $550M At $8B Valuation

Israeli cryptocurrency security company, Fireblocks, announced last Thursday the closing of a $550 million finance round, sources tell Globes. This now brings the company’s valuation to a total of $8 billion, almost quadrupling its $2.2 billion valuation from last June. 

The round was co-led by US investment and capital venture firms, D1 Capital Partners and Spark Capital alongside participation from other equity and venture firms including General Atlantic, Index Ventures, CapitalG, and many others. 

The new round of funding makes Fireblocks one of Israel’s most valuable private tech startups joining the ranks of fintech companies Rapyd and Tipalti and cybersecurity company, Snyk, who have all reached valuations of $8 billion, according to Globes.

According to Fireblocks’ CEO, Michael Shaulov, the vast majority of the funds will be directed towards investment in further developing the company while roughly less than 20% of the money would be used to broker secondary deals with existing shareholders. 

“The new round of financing will accelerate our ability to support our clients globally, as well as heavily invest in innovation for DeFi, NFTs, and payments, and allow new and established financial institutions to employ direct custody rather than relying on third parties, which will increase their competitive advantage,” said Shaulov.

Founded in 2018, Fireblocks aids banks and other financial institutions establish “independent activities for storing and transferring cryptocurrencies.” The company has already cultivated a large clientele serving more than 800 institutional customers and aims to grow its revenue by 300% this year alone, according to Shaulov.   

“The adoption of cryptocurrencies across the financial and commercial sectors is going to accelerate in 2022, and Fireblocks’ mission is to be a strategic partner for these new market entrants.”