Draper, who has famously backed corporations equivalent to Skype, Twitter, and Tesla, will lead an ongoing spherical by which the crypto startup expects to bag as a lot as $5 million at a valuation of $20 million.
The funding comes seven months after the Supreme Court struck down the Reserve Bank of India’s ban on banking establishments from offering providers to cryptocurrency providers within the nation. Since then, Unocoin says it has seen a 10X progress in its enterprise, clocking day by day trades of Rs 3-four crore, and is including round 200-300 new prospects day by day, taking its whole base of customers to a bit over 13 lakh.
“Things have come back to normal,” stated Sathvik Vishwanath, CEO of Unocoin. “The ban was reversed and the market is fully open. Being unregulated means there’s also some kind of regulatory clarity, but in the future when new rules come up, only at that time the shift will take place.”
Vishwanath added that Unocoin intends to make use of the recent capital to beef up the corporate to strengthen its product, rent new expertise, increase its market, and likewise educate new to cryptocurrency customers. The firm can be rising the bottom of retailers accepting cryptocurrency as a mode of cost from its present base of two,300 companies.
“We were delighted to hear the verdict by the Indian Supreme Court, and we had been tracking Unocoin, the leader in India for Bitcoin for years. We are so thrilled that the stars aligned and we could finally back Unocoin. Every Indian should have a Bitcoin account with Unocoin. It is a great way to do business in a currency that doesn’t devalue over time,” said Tim Draper, founder of Draper Associates.
Unocoin is also looking at turning profitable within the first two months of the upcoming calendar year, with the company pocketing a 0.7% cut from all crypto trades its customers make on its platform. This will mark a complete turnaround for Unocoin, which was on the brink of closure, which had laid off most of its staff and was down to just 14 employees early last year.
“The biggest issue was that we were not able to take money from our customers from their bank accounts, and now that things are back on track, we not only have individual customers, but also corporates who purchase or invest in bitcoin from us,” said Vishwanath.
Unocoin, which is credited as being India’s first cryptocurrency exchange, had seen its co-founder Harish BV being jailed by local authorities in Bengaluru in October 2018 after the company launched a cash deposit machine, which was branded as an ATM, to get around the RBI’s ban.
At the time, the company had found immense support from the broader startup and venture capital communities in India, which put pressure on local and central agencies to release Unocoin’s founder.