Crypto exchange CoinDCX raises $135M funding to support Indian Web3

Published at: April 19, 2022

Crypto exchange CoinDCX became India’s first crypto business to complete a Series D funding round, raising $135 million in support of various Web3 and crypto initiatives in the country. 

The latest funding round resulted in CoinDCX doubling its valuation to $2.15 billion, which was led by Pantera and Steadview and saw participation from prominent investors including Kingsway, DraperDragon and Republic. Speaking to Cointelegraph, CoinDCX CEO Sumit Gupta highlighted CoinDCX’s commitment to spreading awareness on crypto, blockchain and Web3:

“With this funding, we will double our efforts to grow, with a focus on educating corporate and retail investors on the true potential of digital assets.”

Gupta believes in India’s massive potential to benefit from crypto and blockchain adoption. However, concerns around the nation’s crypto tax laws remain prevalent among the Web3 community. Despite the challenges, the entrepreneur counts on friendlier regulations and community enthusiasm over time to fast-track India as a strong and robust Web3 economy.

Excited to share that CoinDCX has raised over USD 135 million, in our latest Series D funding round. Another step closer to our dream of making #crypto accessible to every Indian.

— Sumit Gupta (CoinDCX) (@smtgpt) April 19, 2022

Existing investors such as B Capital Group - a VC firm from Facebook co-founder Eduardo Saverin, Coinbase, Polychain and Cadenza also joined in on the oversubscribed funding round to increase their investments in the crypto exchange.

Gupta added that innovation (or products) and compliance (or security) are the other key areas of focus for CoinDCX in addition to spreading crypto and blockchain awareness and education among Indian investors:

“For the next five years, education, innovation and compliance will be the key cornerstones of CoinDCX’s strategy.”

Moreover, the crypto exchange has invested in risk management and compliance frameworks in an effort to enhance compliance with Financial Action Task Force recommendations.

In August 2021, the Mumbai-based crypto exchange became the first crypto unicorn from India when it reached a valuation of $1.1 billion after raising $90 million in a Series C funding.

At the time, CoinDCX CEO Sumit Gupta had shared plans to repurpose the funds to expand the crypto investor base and set up a research and development facility, among others.

With over $2 billion in valuation, CoinDCX has become the most-valued crypto company in India. Rival crypto exchange CoinSwitch Kuber became India’s second crypto unicorn back in October 2021, which currently holds a valuation close to half that of its forerunner.

On an end note, Gupta reminded that the crypto industry has crossed many milestones and battled numerous challenges together, concluding:

“I would like to encourage the nascent but ambitious crypto and blockchain community to continue building and developing, and to keep flying the flag of innovation high.”

With the further development of the regulatory environment, and the passion and enthusiasm around crypto and blockchain, Gupta expects India to accelerate in its journey towards building out a strong and robust Web3 economy.

Related: Coinbase to invest in Indian crypto and Web3 amid tax regulation clarity

Running parallel to CoinDCX’s attempt to strengthen India’s budding Web3 space, Coinbase Ventures, the investment arm of the United States crypto exchange Coinbase, announced a plan to invest $1 million in the region in early April.

Calling India’s cryptopreneurs!Coinbase Ventures is partnering with @BuidlersTribe to host an in-person pitch day in Bangalore in April.$1M+ is up for grabs, including $25k bonus grants provided by @BeliefDAO, and mentoring sessions with the best minds in crypto.

— Coinbase (@coinbase) March 21, 2022

Coinbase partnered with Builders Tribe to host an in-person pitch day, wherein over 100 crypto entrepreneurs attended to get funding for various crypto and Web3 initiatives.

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