Amber Group Raises $300 Million After Suffering From FTX Crisis
According to co-founder and CEO Michael Wu, the embattled crypto business Amber Group has raised $300 million, mostly for consumers who lost money on the platform’s goods as a result of FTX’s downfall.
Amber Group announced that it had completed $300 million in a Series C round, led by Fenbushi Capital US, followed by other crypto-native investors and family offices.
Amber Group stated that before the FTX collapse, Amber conducted a B+ round of financing at a valuation of $3 billion to prepare for a possible extended encryption winter and continued to conduct a C round of financing after the FTX collapse. Backed by investors, its priority for 2023 is to focus on its core business and customers.
According to a previous article by Coincu, less than 10% of Amber’s entire trading capital was with FTX at the time of its demise, although the company did have to rebalance some holdings.
While most of its clients and products remained unaffected, the FTX failure would have resulted in huge losses for a handful of the company-specific products.
Due to slow business development and market volatility, the Singapore-based company informed staff this week that performance bonuses will be phased out in 2022. Amber Group also recently announced it had bought Singaporean crypto exchange Sparrow.
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