Crypto Trading Platform MoonPay Seeks $3.4B Valuation

MoonPay, which makes tools allowing web and mobile developers to accept cryptocurrency payments, could reach $3.4 billion after its first round of venture capital funding wraps up, according to a Cointelegraph report on Tuesday (Oct. 12).

Tiger Global Management and Coatue Management are leading the fundraising round for the FinTech startup by investing $400 million. The companies have teamed up in the past to support many mid-sized blockchain, DeFi and cryptocurrency startups.

MoonPay’s platform allows users to buy and sell cryptocurrencies and digital assets using debit and credit cards and local bank transfers, among other mainstream payment methods.

If its funding round is completed, MoonPay will reach unicorn level (a private company with a valuation of $1 billion or more) within three months.

Related news: Bitcoin Daily: Apollo Global, Figure Team on Blockchain Innovation; Moonpay Partners With FIS for Expansion

In July, MoonPay announced plans to use Worldpay from FIS to process credit and debit card purchases and sales of cryptocurrencies, along with nonfungible tokens (NFTs).

Also read: MoonPay Gets Stake in Crypto Business Account Firm BCB Group

In June, BCB Group, a B2B company that provides banking rails to digital currency firms, and MoonPay teamed for a strategic collaboration. MoonPay will get a “sizable” share of BCB Group with their collaboration, according to a Coindesk report citing the firms.

The report noted that both companies emphasized that “the arrangement does not fall within the category of M&A [mergers and acquisitions].”

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A recent report found that 40% of companies in the Americas, Africa and the Middle East expect to tap digital currencies to make purchases within the next year, meaning businesses are examining their use for B2B as well as consumer-facing payment applications.

One recent study found almost half (48%) of U.S. investors bought digital currencies in the first half of 2021. About 37% of investors 18 to 44 years old who have not yet bought digital currencies are either “very” or “somewhat” interested in doing so, compared to 19% of people over 60.