Sygnum Secures Over $40 Million in Oversubscribed Funding Round, Surpassing $900 Million Valuation

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Sygnum, the global digital asset banking group, has successfully raised over $40 million in an interim close of its latest funding round, surpassing the initial target of $35 million. Named the Strategic Growth Round, the funding is aimed at fueling Sygnum’s expansion into new markets and enhancing its suite of regulated products and services to capitalize on positive market trends in the digital asset industry.

The completion of this interim close places Sygnum’s post-money valuation at $900 million. The round, marked by oversubscription, has seen strong investor interest, with Azimut Holding, a global asset management group, leading the way.

The fundraising success follows Sygnum’s robust financial and operational performance, expanding regulatory footprint, and notable achievements during the “crypto winter.” Closing 2023 with an annualized revenue run rate exceeding $100 million and achieving positive cash flow in the fourth quarter, Sygnum demonstrated resilience in a challenging market environment.

Azimut Holding, the lead investor, expressed satisfaction in leading Sygnum’s Strategic Growth Round, citing the increasing demand for well-regulated institutionalized services in the crypto sector anticipated in 2024. Azimut Holding has been a key partner for Sygnum since 2021, contributing to the development of the first tokenization of a private credit portfolio in Europe.

Proceeds from the funding round will be instrumental in expanding Sygnum’s global presence into new markets. Notably, the funds will accelerate the development of Sygnum’s fully regulated products, including its B2B (bank-to-bank) platform, which powers the crypto offerings of more than 15 banks and financial institutions worldwide.

Sygnum’s strategic partnerships, such as the one with PostFinance announced in April 2023, aim to bring bank-grade digital asset services to millions of Swiss customers. Additionally, the collaboration with Bordier & Cie in Singapore, established in 2021 and expanded in November 2023, underlines Sygnum’s commitment to international growth.

Since its last successful Series B fundraise, Sygnum has seen substantial growth in assets under administration, surpassing $4 billion, with a diverse client base from over 60 countries. The company’s team, now nearly 250 strong, has supported the increasing client activity and operations through the challenging market conditions.

Giorgio Medda, CEO of Azimut Holding, emphasized the importance of well-regulated institutionalized services in the crypto sector and expressed confidence in Sygnum’s position as a leading financial institution in the digital asset industry.

Mathias Imbach, co-founder and group CEO of Sygnum, expressed gratitude for the investors’ trust in the company’s core thesis of building trust through regulation and good governance. He highlighted the commitment to empowering everyone to own digital assets with complete trust.

Gerald Goh, co-founder and CEO of Sygnum Singapore, sees the fundraising success as a testament to Sygnum’s strong position in the regulated financial institution space within the global digital asset industry. He emphasized the increasing demand for trusted and well-managed financial institutions as the industry emerges from the ‘crypto winter.’ The funds raised will further support Sygnum’s efforts to expand its suite of fully regulated solutions and assist investors in navigating the evolving landscape of digital assets.