The financial services company Blockchain.com does not deny recent attempts to raise money, but it refutes claims that it sold its assets. Blockchain.com, a cryptocurrency exchange and financial services provider, has rejected requests to sell assets or subsidiaries and has not been in contact with other cryptocurrency businesses regarding possible mergers, a source stated.
Reports citing unnamed sources claim that in December and January, corporate leaders contemplated selling a portion of their company to Coinbase and other cryptocurrency firms. Blockchain.com disputes the allegations.
Blockchain.com Needs More Funding
But, since October 2022, the firm has been seeking to raise more funding for its operations, even at a large reduction from the prior valuation. According to a Bloomberg article at the time, the round was anticipated to result in a valuation of $3 billion to $4 billion. The conceivable round would aid Blockchain.com in navigating the gloomy cryptocurrency industry.
Although disputing the claims of asset sales, Blockchain.com does not contest the efforts to generate funds. An 80% investment in PolySign, a startup that develops infrastructure for financial institutions, was recently sold by the company’s venture arm.
The Failed Attempts Made Blockchaincom Take Action
Over 110 workers of Blockchain.com, or 28% of its workforce, were let go in January, just months after the business had layoff 150 employees in July 2022 as a result of a $270 million loan loss. It was an investment that was made to the failed hedge firm Three Arrows Capital (3AC).
According to Blockchain.com, it is present in 200 countries and has over 37 million verified consumers who use 86 million wallets. The company raised its valuation from $5.2 billion to $14 billion in March 2022 thanks to additional fundraising spearheaded by international venture capital firm Lightspeed Venture and investment management company Baillie Gifford & Co.
Prior investments included $120 million from many venture capital companies as well as a $300 million Series C deal in March 2021 that was organized by DST Global Partners, Lightspeed Venture Partners, and VY Capital.
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