Digital asset bank Avanti raises $37 million in Series A ahead of launch
March 25, 2021, 7:13PM EDT
1 min read
Digital asset bank Avanti raised $37 million in a Series A round, according to an announcement from the bank. That brings its total raised since inception to $44 million.
A number of individual investors participated in the round, including some of Avanti's executives and directors. Binance.US, Coinbase Ventures, Morgan Creek Digital and Susquehanna Private Equity Investments are among its institutional investors.
The raise will provide the capital needed to launch, as required by regulators. The funds will also support the engineering and operating expenses.
Avanti first gained bank charter status from the state of Wyoming in October of last year. It is the second crypto company to become a bank after Kraken Bank. This allows the crypto firm to provide final and simultaneous trade settlements between crypto and the dollar.
With the help of the raise, founder Caitlin Long said Avanti plans to issue its dollar-pegged token Avit, as well as custody on and off-ramp services for crypto. As of now, it has over 2,500 inbound customer inquiries, according to Long.
However, it also means Avanti is obligated to comply with the Bank Secrecy Act, anti-money laundering compliance standards and other bank compliance standards.
Further launch details will be coming soon, according to Avanti.
Editor's Note: a previous version of this story referred to Kraken Bank as Kraken Financial. Kraken Financial rebranded to Kraken Bank late last year.