Coinbase-backed crypto trading firm hits $1 billion valuation after fresh funding

Coinbase-backed crypto trading firm hits $1 billion valuation after fresh funding

Amber Group, a cryptocurrency financial services firm, has raised $100 million as investors rush to back companies in the industry. The fresh funding round values the Hong Kong-based start-up at $1 billion. Investment bank China Renaissance led the round with participation from other high-profile investors including New York-based Tiger Global Management. Existing investors, which includes Coinbase's venture arm, were involved. The latest funding round continues a flurry of funding activity in the cryptocurrency industry. In the second quarter of 2021, venture capital investment into cryptocurrency and blockchain start-ups totaled $14 billion, according to data from PitchBook provided to CNBC. That compares to just $600 million in the same period last year. Interest in cryptocurrencies, particularly in bitcoin, rose this year as and large corporations jumped in. Payments processor and electric vehicle maker are among the companies that have . But after touching a record high of $64,829.14 in April, bitcoin has plunged by nearly half. Business model Amber Group has typically sold products to institutional investors and high-net worth individuals including algorithmic trading and lending products. Rather than being a cryptocurrency exchange that allows users to trade individual digital coins, Amber Group CEO Michael Wu said the company is bringing