Coinsquare collects CAD$10.5m for digital currency exchange

goNumerical (Coinsquare), a Canadian digital currency exchange, has closed a CAD$10.5m investment at a CAD $110.5m post-money valuation.

A ‘prominent global asset manager’ with over a trillion dollars under management led the round according to the company.

Led by CEO Cole Diamond, goNumerical operates Coinsquare, an online exchange that enables its users to transact using cryptocurrency, including bitcoin, enthereum, and precious metals like gold and silver, among others.

With varying fees for each transaction, users have to first fund and convert their coins before having them ready for withdrawal in their digital wallets, through proprietary Interac e-transfers. Customers can choose from among eight different trading markets secured by two-factor authentication systems and email confirmations.

Coinsquare has reported profitable operations and has grown over 300% in several different financial metrics since landing an investment from Riot Blockchain in September.
Riot provides investment exposure to the rapidly growing Bitcoin and blockchain ecosystems.

John O’Rourke, chairman and chief executive officer of Riot Blockchain, said: “We are thrilled with this latest sign of confidence in Coinsquare, the digital currency market, and the important role Coinsquare is playing in growing this market in Canada. Coinsquare was our first strategic investment and is well positioned to continue executing on their lofty ambitions and vision of their CEO, and Riot advisor, Cole Diamond.”

Investments to the Blockchain & Cryptocurrencies sector made a strong start to the year with 72% of last years’ total funding already committed, according from a report from FinTech Global in September.

The report found that the total investment in the sector grew between 2014 and 2016, steadily increasing at a CAGR of 14.2%. The increase in investment looks set to continue in 2017 as a total of $412m was invested in the first half of the year. This was partly due to a few large deals including a $107m deal to Blockchain company R3 CEV in May 2017 which made up 26.0% of the total funding in the first half of 2017.

Copyright © 2017 FinTech Global

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