Victor Ugochukwu · Dec 14, 2020 . 5min read
Bitnomial Bitcoin derivatives market raises $11.6M in Series B funding round
Bitnomial, a Bitcoin derivatives market has raised $11.6M in a Series B funding round led by Electric Capital.
By Victor Ugochukwu · Oct 8, 2020 . 5min read
Bitnomial which offers traders and U.S. investors inclusive a Bitcoin derivatives market has raised $11.6M in a Series B funding round led by Electric Capital.
The CFTC regulated Bitcoin derivatives platform which has access to the lucrative U.S. institutional market raised its $11.6M Series B majorly from Electric Capital and Jump Capital. It aims to use this funding to expand its operation as per a recent report from Coindesk.
Bitnomial disclosed its Equity sale to investors in its latest funding round in an October 5 filings with SEC. The U.S. Commodity Futures Trading Commission (CFTC) approved Bitnomial as a licensed Bitcoin derivatives platform in April. And now it seeks to expand its operations barely six months after approval. This latest funding round lends credence to an earlier report by The Block in August. The media reported that Bitnomial CEO Luke Hoersten planned to raise $10 million to expand. As per that report, Bitnomial intends to expand its market infrastructure, employee base and product offering. Therefore, with Bitnomial’s $11.6M raise exceeding the target and suggests investors are probably bullish on the bitcoin derivatives market.
Bitnomial Series B raises coming while BitMEX is in regulatory hot waters.
While the news of Bitnomial comes fresh and sizzling for crypto derivatives markets, BitMEX is facing severe allegations with regulators. The combined CFTC and DOJ slammed BitMEX, a longtime Bitcoin and Crypto Derivatives platform allegations of running an illegal exchange. The charge also states that they allowed illicit money movement and laundering activities on their platform. Specifically, CFTC claims BitMEX even though it’s not registered with regulators in the United States targetted U.S. investors. Even though BitMEX whose vaults hold roughly one percent of all the circulating supply of Bitcoin says it will continue to process deposits and withdrawals, customers have withdrawn more than forty percent from BitMEX’s reserves since the break of the indictment story.
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