- Popular crypto lender Amber Group has raised $300 million in a Series C funding round.
- The firm believes the funding would further protect its clients in the volatile market.
- Amber had to partially close the earlier round due to the FTX crisis.
- The protocol announced it was scaling down its mass consumer efforts.
Amidst the prevailing bear market, popular crypto lender Amber Group has raised $300 million in a Series C funding round. Announcing the development in a Twitter post, the Hong Kong-based firm said the round was led by Fenbushi Capital US and saw participation from other angel investors.
1) Today, we’re announcing that Amber Group has completed a $300M Series-C round, led by Fenbushi Capital US and joined by other crypto-native investors and family offices.— Amber Group (@ambergroup_io) December 16, 2022
Amber Group revealed that through the round, the investors had reiterated their confidence and trust in its operations. According to the firm, it intends to bank on the funding to reshape the future together. It believed the funding would go a long way in protecting its clients amidst the volatile environment.
Amber Reflects on the Effect of FTX Crisis on its Previous Round
Amber Group states that the FTX crisis began when the company, valued at $3 billion, was extending its Series B funding. With the FTX crisis ravaging the sphere, Amber was forced to close the round partially.
However, the crypto lender emphasized that it had minor exposure to the troubled FTX.
"As previously disclosed, less than 10% of our total trading capital was with FTX at the time of its collapse, but we did have to rebalance some positions. None of this impacted our daily operations or our business continuity," the crypto lender said
According to Amber Group, most of its clients and products are safe and intact. However, it believes its latest funding will help strengthen the protection enjoyed by its products.
Meanwhile, the protocol announced its resolve to scale down its mass consumer efforts and non-essential business lines. According to the lender, this manifested as part of its effort to focus on its core businesses and clients.
It is noteworthy that the trading firm laid off 40% of its staff, restricted employee benefits, and ended Chelsea Football Club’s $25 million sponsorship deal amid the FTX collapse.
On the Flipside
- Amber Group’s latest funding round came shortly after it lost one of its co-founders. Last month, 30-year-old co-founder Tiantian Kullander passed away in his sleep.
Why You Should Care
Amber Group, one of the financial unicorns, is experiencing many issues. As a result of the collapse of FTX, its trading volume shrank. However, the recent funding will help the firm overcome some of its major struggles and stabilize the crypto market.
Employee layoffs are not limited to Amber Group:
Meta To Proceed With Mass Layoffs – What It Means For Crypto & Web 3.0
Crypto Exchange Bybit to Lay Off 30% of Its Work Force in ‘Deepening Bear Market.’