Sygnum Secures Over US$40 Million in Strategic Growth Funding Roundby Fintech News Singapore January 25, 2024
Global digital asset banking group Sygnum has reported an interim close of its Strategic Growth Round, successfully raising over US$40 million, surpassing its initial target of around US$35 million. This funding has elevated the company’s post-money valuation to US$900 million.
The Strategic Growth Round aims to fund Sygnum’s expansion into new markets and the enhancement of its regulated products and services, aligning with the growing trends in the digital asset industry. The funding round, having exceeded its original target, was led by Azimut Holding, a global asset management group.
Sygnum‘s latest fundraising efforts were driven by its solid financial performance and expanding regulatory footprint, especially notable during the recent ‘crypto winter’. The company finished the previous year with a significant annualised revenue and achieved a positive cash flow in the last quarter of the year.
The funding round saw investments from both new and existing strategic and financial investors, including Sygnum employees who participated on the same terms as external investors. The majority ownership of the company continues to be held by its employees, co-founders, board members, and management team.
The raised capital is intended to support Sygnum’s growth plans, including the expansion of its B2B platform and other regulated product offerings. Sygnum has recently formed partnerships with institutions such as Bordier & Cie in Singapore and PostFinance in Switzerland, reflecting its expanding global presence.
Sygnum has experienced substantial growth in its assets under administration, reaching over US$4 billion, with a diverse client base from over 60 countries. The company has maintained its momentum in expanding its global team, nearing 250 members, and holds operational licenses in Switzerland, Singapore, the UAE, and Luxembourg.
Giorgio Medda, CEO of Azimut Holding, expressed his enthusiasm for leading the funding round.
“We are pleased to have led Sygnum’s Strategic Growth Round fundraising at this topical moment when the demand for well-regulated, institutionalised services in crypto looks set to surge in 2024. Sygnum has been a key partner since 2021, and we have appreciated the team’s expertise and high degree of innovation.”
Gerald Goh, Co-Founder and CEO Singapore of Sygnum, also commented on the fundraising success.
The broader industry is emerging from the ‘crypto winter’, and investors and market participants are increasingly seeking to partner with trusted and well-managed financial institutions.
For Sygnum, this fundraise will allow us to further build out our suite of fully regulated solutions to support investors as they increase their exposure to the asset class,”
Fintech News Singapore previously spoke with Gerard Goh in a video interview during the Singapore Fintech Festival